Back to today’s briefing

Story perspectives

Healey Faces £1.4B Gap in Defence Investment Plan

9/2/2026

13 1 Full Breakdown

Summary

Story summary

John Healey, UK chancellor, must raise taxes on middle earners to fund defence spending.
He will wait for the year’s spending review before outlining a plan to meet 3.5% GDP defence target by 2035.
The Resolution Foundation estimates £28 billion a year is needed to meet the 3.5% defence pledge.
Healey must find about £1.4 billion annually for the Defence Investment Plan in his budget on 28 October.

History

Historical Context

After Labour won the 1997 election, Prime Minister Tony Blair appointed George Robertson as defence secretary, who delivered the 1998 Strategic Defence Review. The review launched the Joint Rapid Reaction Force, ordered two Queen Elizabeth-class carriers, and required a £2 billion budget cut. Today Chancellor John Healey faces a comparable funding gap as the UK revisits defence spending.

1 of 2

Story summary

John Healey, UK chancellor, must raise taxes on middle earners to fund defence spending.
He will wait for the year’s spending review before outlining a plan to meet 3.5% GDP defence target by 2035.
The Resolution Foundation estimates £28 billion a year is needed to meet the 3.5% defence pledge.
Healey must find about £1.4 billion annually for the Defence Investment Plan in his budget on 28 October.

1 / 2