Contingency Reserve
The question
To ask the Chancellor of the Exchequer, whether any of the £15 billion increase in her department’s budget is comprised of funds from the contingency reserve.
Answered by Lucy Rigby
The government has confirmed an additional £15 billion for the Defence Investment Plan between 2026-27 and 2029-30. This package has been funded by reprioritising public spending, acting within our fiscal rules and without taking resources away from day-to-day spending on frontline services. It is funded primarily by reallocating budget from across government departments, with £10.3 billion identified now. A further £4.7 billion over four years will be confirmed at Budget 2026, in a fair and balanced way.
A more detailed breakdown can be found in The Defence Investment Plan Funding explainer - GOV.UK.
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