UK Has Record GBP16.9bn Shortfall In Defence Budget: Watchdog

The National Audit Office said there was a £16.9 billion blackhole in the UK defence equipment budget (Credit: AFP)

The UK's defence department is facing a GBP16.9 billion ($21.4 billion) shortfall in its equipment budget due to inflation and demands from the government's updated strategy, the public spending watchdog said Monday.

"The Ministry of Defence (MoD) acknowledges that its Equipment Plan for 2023-2033 is unaffordable, with forecast costs exceeding its current budget by GBP16.9 billion," the National Audit Office (NAO) said in its annual report.