Story perspectives

Healey Announces £5B British Business Bank Defence Tech Investment

By Drooid · Oct 29, 2026 · How we work

Read the story

Story summary

Summary

UK Chancellor John Healey announced a £5 billion British Business Bank investment for defence technology.
Healey created an Innovative Defence Financing Taskforce to attract private and international capital.
Healey ordered 1% cuts in departmental capital budgets to cover a £4.7 billion gap.
Healey pledged to meet NATO’s 3% GDP defence target by 2030 and 3.5% by 2035.
The OBR says the 3.5% target will cost £35 billion and generate 60,000 jobs by 2029-30.

Summary

The budget pledged 100 % of business rates and a share of income tax to stay local by 2030.
Kemi Badenoch called the budget a “4p gherkin” tax-increase stunt.
Healey announced a £100 one-off Household Energy Payment for council-tax bands A-D in January.
The OBR cut its growth forecast to 1 % for next year, from 1.6 %.
Online marketplaces will now pay VAT under the new rules.

1 of 2

Healey Announces Defence Funding

UK Chancellor John Healey announced a £5 billion British Business Bank investment for defence technology.
Healey created an Innovative Defence Financing Taskforce to attract private and international capital.
Healey ordered 1% cuts in departmental capital budgets to cover a £4.7 billion gap.
Healey pledged to meet NATO’s 3% GDP defence target by 2030 and 3.5% by 2035.
The OBR says the 3.5% target will cost £35 billion and generate 60,000 jobs by 2029-30.

1 / 2