Defence budget will not rise despite Ukraine war, Rishi Sunak signals
The TelegraphIt had previously been suggested that the defence budget may increase amid concerns about the UK’s readiness for war if the conflict in Ukraine draws in Nato countries. Ministers are already planning to reduce troop numbers from 82,000 73,000 by 2025, while the high rate of inflation means the defence budget is shrinking in real terms, despite the planned top-up from the Integrated Review. All department bids ‘harshly rebuffed’ Analysis by the Royal United Services Institute, a leading defence think tank, found that when inflation was taken into account, defence spending would actually fall in real terms in 2023 and 2024. It has been suggested that Mr Sunak’s statement may include a cut to fuel duty and changes to the threshold at which employees pay National Insurance, but it is expected to contain few other policy offerings and tax giveaways, as he attempts to shore up the public finances after the coronavirus pandemic.