Former Defence Secretary John Healey resigned, stating that the UK's Defence Investment Plan (DIP) "falls well short of what is required for defence and the country at this dangerous time." In his resignation letter to Prime Minister Sir Keir Starmer, Healey criticized the government for being "unable and the Treasury has been unwilling, to commit the resources that the nation needs."
The DIP, yet to be published, aims to boost defence spending to 2.68% of GDP by 2030—a modest 0.08% increase from the 2.6% commitment for 2027, equating to roughly £2.4 billion in today's money. Healey argued that the UK should target 3% of GDP by 2030.
Shrinking Armed Forces
The Ministry of Defence reported a 40% drop in regular army enlistment applications in 2025 compared to 2024. Since 1990, reservist numbers have fallen from 76,000 to 25,770. The Navy faced criticism for taking weeks to deploy HMS Dragon to the Gulf.
Uncrewed aircraft systems (drones) now form part of the UK's military capabilities, representing a new area the government claims needs significant investment.
Spending Context
Analysts note that despite pledges of the "largest sustained increase since the Cold War," defence spending has been on a near-constant downward trajectory since the Berlin Wall fell. Lord Robertson, who led the Strategic Defence Review, warned that it is impossible to defend Britain with an "ever-expanding welfare budget." Spending on working-age benefits now exceeds defence spending and is projected to reach 4.3% of GDP by the decade's end.
NATO Rankings
The UK has committed to a NATO target of spending 5% of GDP on national security by 2035, comprising 3.5% on core defence and 1.5% on civil preparedness. Only Poland, Lithuania, and Latvia exceeded 3.5% defence spending in 2025.
Procurement Woes
The National Audit Office rated 12 of the MoD's major projects as "Red," meaning successful delivery seems unachievable. The MoD takes an average of six and a half years to award contracts over £20 million. The Strategic Defence Review recommended a new "segmented approach" to speed up procurement to within two years.
Future Challenges
Analysts cite rising threats from Russia, the Middle East conflict, and uncertainty over the US's role in NATO as compelling reasons for higher defence spending. General Sir Richard Barrons stated, "We've now entered a very new era in global affairs, with much greater risk but we're entering it with the armed forces we were left with for a much more comfortable, peaceful time."
A government spokesperson responded: "We are delivering on the Strategic Defence Review to meet the threats we face. It is backed by the largest sustained increase in defence spending since the Cold War, with a total of over £270bn being invested across this Parliament."