UK budget sets 2030 defence spending target and expands investment in military technologies – Digital Watch Observatory

New UK budget set a 2030 defence spending target and expand financing for military technologies, autonomous systems, and dual-use capabilities. Home | Updates | UK budget sets 2030 defence spending target and expands investment in military technologies The UK’s His Majesty’s Treasury (HM Treasury) announced in its 2026 Budget a target to increase defence spending to 3% of gross domestic product (GDP) by 2030, alongside measures to expand investment in military technologies, autonomous systems, and dual-use capabilities. The government also confirmed that its 2027 Spending Review will set out how it intends to meet the North Atlantic Treaty Organization’s (NATO) commitment to allocate 3.5% of GDP to core defence spending by 2035.

The announcement builds on the government’s 2025 Strategic Defence Review, which committed to increasing defence spending to 2.5% of GDP by 2027 and expressed an ambition to reach 3% during the next Parliament, subject to economic and fiscal conditions. The 2026 Budget establishes a more specific timeline for that ambition. According to HM Treasury, defence spending is £14 billion higher this year than in the final year of the previous government, while the Defence Investment Plan is expected to bring spending to 2.7% of GDP in 2027–28. The Budget also confirms how the government will finance the remaining £4.7 billion of its £15 billion Defence Investment Plan, announced