The Secretary of State for Defence (Gavin Williamson)
I have regular discussions with the Chancellor and, as the Prime Minister announced last month, the Ministry of Defence will benefit from an extra £800 million in the current financial year, including £600 million for the Dreadnought submarine programme. The Government are committed to spending at least 2% of GDP on defence, and the defence budget will rise by at least 0.5% above inflation in every year of this Parliament. The modernising defence programme will ensure that our armed forces have the right processes and capabilities to address evolving threats.
So spending will be at least 2% of GDP. Then it will increase by at least 0.5% above inflation - which index?
If inflation is 3% then the vote will increase by at least 3.5%. Presumably the increase the following year will compound on the previous increases.
The question of Foreign Aid paying for some Defence expenditure was raised but he said that £100m of humanitarian aid, for instance after the Hurricane could not be recovered from the foreign sid.