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5d ago

Coalition Faces Scrutiny Over $21 Billion Defence Pledge Ahead of Election

Peter Dutton promises to raise defence spending to 2.5% of GDP within five years and 3% within a decade, but funding and allocation details remain unclear.

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Liberal Party leader Peter Dutton listens during a visit to youth mental health foundation, Headspace, in Parramatta, Western Sydney, Australia, March 23, 2025. REUTERS/Hollie Adams/File Photo
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Overview

  • The Coalition has pledged an additional A$21 billion in defence spending over the next five years to increase defence outlays to 2.5% of GDP by 2030 and 3% within a decade.
  • Critics, including Labor and Defence Minister Richard Marles, have questioned the feasibility of the plan, citing a lack of clarity on funding sources and specific allocations.
  • The Coalition’s policy includes reinstating a fourth squadron of F-35A fighter jets and promises to invest in sovereign defence capabilities and recruitment efforts.
  • The pledge is framed against global security concerns, including China's regional activities and calls from the US for allies to raise defence spending to 3% of GDP.
  • The Coalition has committed to releasing detailed costings before the May 3 election, as early voting continues with over half a million ballots already cast.