The Budget Fails to Strengthen Australia’s Defence
By Ray Payne OAM
The latest budget announcement does not provide the necessary funding to strengthen Australia’s defence forces despite growing global threats. Instead of making significant investments in national security, the government is shifting a modest $1 billion over the next few years, mostly towards submarines and missiles. This small funding adjustment does little to improve the readiness and sustainability of the current defence force.
The total funding for Defence, the Australian Signals Directorate, and the Australian Submarine Agency in 2025–26 is estimated at $58.99 billion, an increase of 4.2 percent from the previous year. However, after accounting for inflation, the real increase is only 3.2 percent. This is not enough, especially considering the government itself has stated that Australia is facing its most serious security challenges since World War II.
A closer look at the budget shows that the government is still not prioritising the readiness of existing defence forces. While there is some extra funding to maintain the F-35 Lightning jets and Collins-class submarines, there is little change in overall maintenance, usage, and workforce support. This lack of investment weakens the immediate effectiveness of Australia’s military.
This budget is a missed opportunity to strengthen national security. It does not show a strong commitment to defence, risks damaging relationships with key international allies, and discourages investment from the defence industry. Without clear signals from the government that it is serious about strengthening Australia’s defence capabilities, local industries will continue to face delays and uncertainty.
In the end, the government’s failure to prioritise defence funding leaves Australia unprepared for future threats. While successive governments have acknowledged the growing security risks, this budget does little to ensure that Australia has a strong and ready defence force. The government must recognise that its top responsibility is to protect the nation and take action by providing proper and timely funding for defence.
