Overview

This bill mandates the UK government to maintain defence spending at a minimum of 2% of its Gross Domestic Product (GDP), in line with NATO guidelines. It requires annual reports to Parliament detailing defence expenditure, subject to independent audit, and necessitates explanations if this target isn't met.

Description

The Defence Expenditure (NATO Target) Bill legally obligates the Secretary of State to ensure UK defence spending remains at or above 2% of GDP. This will be reported annually to Parliament, detailing:

• Total defence expenditure
• Expenditure on major equipment
• Expenditure as a percentage of GDP

The report will categorise spending into personnel, R&D/procurement, and operations/maintenance. The National Audit Office will audit these figures. The relevant period for reporting will be either a calendar year or a year ending on March 31st, depending on the data's usual reporting period. If spending falls below the 2% target, the Secretary of State must provide Parliament with an explanation and outline remedial action.

Government Spending

This bill doesn't directly allocate additional government spending. Instead, it sets a minimum spending target for defence, potentially increasing expenditure if current levels fall short of 2% of GDP. Specific figures aren't provided within the bill itself.

Groups Affected

• The Ministry of Defence (MoD): The MoD will be directly responsible for meeting the 2% target and producing the annual reports.
• The National Audit Office (NAO): The NAO will be responsible for auditing the MoD's figures.
• Parliament: Parliament will receive annual reports and explanations if the target isn't met, enabling scrutiny and accountability.
• Taxpayers: The bill may affect taxpayers indirectly, depending on whether the government needs to increase tax revenue or make other budgetary adjustments to meet the spending target.

Powered by nyModel