Government to announce above-inflation pay rise for Britain's armed forces but STILL have nothing to say on £28bn defence black hole

Published: 20:57, 30 May 2026 | Updated: 21:07, 30 May 2026 The Government is set to announce another pay rise for the military, this time above inflation - despite still staying quiet on the £28billion fiscal black hole.  The pay boost, said to revealed in the coming days, will be the third since Labour won power in 2024 and will see all ranks paid in accordance with the living wage.  When finalised, the Ministry of Defence (MoD) confirmed the bump will be backdated to April 1, the beginning of the Armed Forces pay year. A spokesperson for the MoD said the Armed Forces' Pay Review Body (AFPRB) has submitted its report and recommendations for the increase. They added that details of the rise will be 'confirmed shortly.' Details of the pay rise come as new figures from the Armed Forces Continuous Attitude Survey show morale among military personnel is still falling short.  According to the findings, four in ten personnel are satisfied with their service life in general. Despite this being up three per cent from last year, it remains below the 50 per cent recorded under the Conservatives in 2021.  Satisfaction with pay was also recorded at 37 per cent this year - remaining well below the peak level of 50 per cent in 2010.  Moreover, satisfaction with responses to requests for maintenance and repair works came in at 39 per cent this year. Labour will announce another pay rise for the military above inflation - despite still staying quiet on the £28billion fiscal black hole Although this is a sharp increase from 19 per cent in 2023, current satisfaction sits below the peak level reported under the Conservative-Liberal Democrat coalition government in 2014 at 46 per cent. And news of the pay increase comes amid rising fiscal problems for the government.  On Friday, it emerged that Labour's long-delayed investment plan will still not materialise next week as expected. For months, Prime Minister Keir Starmer has been wrangling with ministers on how to fill an estimated £28billion funding gap across the next four years. Despite the growing alarm at threats facing Britain from overseas, the Treasury has attempted to limit how much extra cash it has to find. There had been briefings the plan might be released when the Commons returns from recess next week, however, sources have downplayed the prospect. Concerns were raised by Nato that the package will not be ready for a summit in July - when US President Donald Trump will increase pressure on the alliance. Tensions have risen after Mr Trump's criticism of partners for refusing to support his war against Iran.  Rachel Reeves' Treasury has been trying to limit how much extra cash it has to find for defence, despite growing alarm at the threats facing the country However, pensions minister Torsten Bell affirmed the document will be published 'when it's ready'.  Speaking to Sky News, he said: 'So, if you're talking about the defence investment plan, the work is ongoing on that. 'We want to see it come out as soon as possible, but we do have to get the details right, but that isn't holding up levels of defence spending already increasing.' From next year, defence spending is set to increase to 2.7 per cent of GDP - rising to 3.5 per cent by 2035 as the geopolitical climate continues to be volatile.  Former Labour defence secretary Lord George Robertson hit out at the Government's 'corrosive complacency' on defence spending in a lecture last month, and claimed Sir Keir was unwilling to 'make the necessary investment'. It is understood the Conservatives will push for a vote on an amendment to the Armed Forces Bill that will require Mr Healey to lay the defence investment plan before the Commons and Lords within a month of the legislation getting Royal Assent. Lord George Robertson, a former Labour defence secretary and one of the authors of the Strategic Defence Review, used a lecture last month to hit out at the Government's 'corrosive complacency' on defence spending and accused the Prime Minister of being unwilling to 'make the necessary investment'.  This will come on June 2 - marking one year since Labour published its Strategic Defence Review.  The pay boost will be the third since Labour won power in 2024 and will see all ranks paid in accordance with the living wage The review pledged to end the 'hollowing out' of the UK's armed forces, but the investment plan laying out defence spending priorities over the next decade - originally predicted to come in autumn last year - has not yet been released.  David Reed, shadow defence minister, said Labour has 'no plan' to keep Britain safe. He said: 'The Government reportedly faces a £28billion black hole in its defence budget, having chosen higher welfare spending over bolstering our military at the most dangerous moment in a generation. 'We will force a vote to compel Labour to finally publish its long-delayed defence investment plan.' No comments have so far been submitted. Why not be the first to send us your thoughts, or debate this issue live on our message boards. By posting your comment you agree to our house rules. Do you want to automatically post your MailOnline comments to your Facebook Timeline? Your comment will be posted to MailOnline as usual. Do you want to automatically post your MailOnline comments to your Facebook Timeline? Your comment will be posted to MailOnline as usual We will automatically post your comment and a link to the news story to your Facebook timeline at the same time it is posted on MailOnline. To do this we will link your MailOnline account with your Facebook account. 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