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Defence: Finance

Asked by James MacClearyLiberal DemocratTreasuryTabled Answered 21 May 2026UIN 762

The question

To ask the Chancellor of the Exchequer, what assessment her Department has made of the potential merits of using defence bonds as a way to finance capital-intensive commitments in the Strategic Defence Review.

Answered by Lucy Rigby

This Government has announced a significant uplift in defence spending over the Spending Review period. This uplift is underpinned by our non-negotiable fiscal rules; reducing borrowing whilst investing in defence to keep the UK and allies safe.

There are no plans to relax these fiscal rules, increase taxation or introduce defence bonds to support further defence spending.

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