Burnham warns defence boost must not be funded by welfare cuts
During PMQs, Labour’s Andy Burnham warned that raising defence spending cannot be financed by cutting welfare benefits.
Andy Burnham told the Commons on Thursday that any increase in defence spending must not be paid for by trimming the welfare safety net. The remark came in response to criticism from Kemi Badenoch, the Conservative leader of the public accounts committee, who has pressed the government to lift defence outlay to three percent of GDP.
Why the clash matters
The debate pits two core government priorities against each other: national security and social security. Prime Minister officials have repeatedly said that security is the "first duty" of the state, yet the Conservatives have floated a plan to fund part of the defence rise by shaving £4 billion from housing benefits. Burnham warned that such a move would drive a surge in homelessness, with families forced into temporary accommodation.
Burnham’s warning in his own words
“I don’t think myself that taking £4bn out of housing benefit is going to get the right consensus around this issue, because that would create levels of homelessness in this country that we wouldn’t have seen before, hundreds of thousands of children in temporary accommodation.”
He added that strong security depends on “resilience in our communities”, a point echoed by the Labour shadow chancellor as the party prepares for next year’s Spending Review.
Numbers and the road ahead
Current projections show the welfare budget rising to 11.1 percent of GDP by 2030, up from 10.7 percent today, an increase of roughly £40 billion. Pension spending is set to climb from £169.2 billion to £187.5 billion, while disability payments could rise from £50.2 billion to £61.1 billion. By contrast, the defence budget is slated to reach only 2.7 percent of GDP next year, with no clear path to the NATO‑endorsed 3.5 percent target for 2035.
The government still needs to find about £15 billion over four years through extra taxes or cuts to meet the Defence Investment Plan. John Healey faces pressure to deliver, especially after his predecessor quit over a failure to fund a three‑percent target by 2030. The Labour leader has pledged to “get the welfare bill down” and is awaiting reports from former health secretary Alan Milburn on NEETs and a separate review by Sir Stephen Timms on disability payments, both expected after the Budget.
The next Spending Review, rather than the annual Budget, will set out the government’s strategy for reconciling defence ambitions with welfare commitments.
