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Jul 01, 2026

Labour could delay building hospitals to fund defence boost

Downing Street has hinted construction of almost 20 new hospital sites across England could be delayed or scrapped as it seeks ways to pour billions into defence.

Sir Keir Starmer faces mounting pressure to explain how he will find an initial £10.3billion of a £15billion boost to improve Britain's Armed Forces and their readiness for war.

While some transport savings have already been identified, No10 this afternoon refused to rule out cuts to a major scheme to build and refurbish 40 NHS facilities by 2040.

Pressed on whether health service funding would be plundered to pay for new weapons the PM's official spokesman said frontline services would be protected.

But he would only commit to protecting funding for 22 sites in the first wave of the New Hospital Programme, plus work on seven facilities found to have been built with dangerous reinforced autoclaved aerated concrete (RAAC).

A further 18 sites are due to have new facilities built on them in waves two and three, starting from 2032, at a combined cost of more than £31billion.

It will raise fears that these projects could be postponed or even scrapped entirely if the money is needed for defence. 

While some transport savings have already been identified to find Sir Keir's defence plans, No10 this afternoon refused to rule out cuts to a major NHS hospital scheme.

While some transport savings have already been identified to find Sir Keir's defence plans, No10 this afternoon refused to rule out cuts to a major NHS hospital scheme.

No10 would not guarantee future work at 18 sites including Whipps Cross Hospital ion London (pictured), which are due to have new facilities built on them from 2032, at a combined cost of more than £31billion

No10 would not guarantee future work at 18 sites including Whipps Cross Hospital ion London (pictured), which are due to have new facilities built on them from 2032, at a combined cost of more than £31billion

Which hospitals could be affected?

There are 18 sites in waves two and three of the New Hospital Programme:

Wave Two 

(Construction due to start between 2032 and 2037)

Leeds General Infirmary

Specialist Emergency Care Hospital, Sutton

Whipps Cross University Hospital, north-east London

Princess Alexandra Hospital, Harlow

Watford General Hospital

Leicester Royal Infirmary, Leicester General Hospital and Glenfield Hospital

Kettering General Hospital

Musgrove Park Hospital, Taunton

Torbay Hospital

Wave Three 

(Construction due to start between 2035 and 2039)

Charing Cross Hospital and Hammersmith Hospital, London

North Devon District Hospital, Barnstaple

Royal Lancaster Infirmary

St Mary's Hospital, north-west London

Royal Preston Hospital

Queen's Medical Centre and Nottingham City Hospital

Royal Berkshire Hospital, Reading

Hampshire Hospitals

Eastbourne District General, Conquest Hospital and Bexhill Community Hospital

The long-delayed Defence Investment Plan (DIP) to fund the armed forces was published on Tuesday, including the £15 billion boost to spending.

In a written statement to Parliament, Chancellor Rachel Reeves said only two-thirds of the sum – £10.3 billion – had been identified, while the remaining £4.7 billion would be 'confirmed at Budget 2026, in a fair and balanced way'.

Ms Reeves said the Treasury would focus on finding 'efficiencies' and cancelling or delaying 'lower priority programmes', while emphasising the Government would not cut day-to-day spending to pay for defence.

Transport and energy budgets will face larger cuts than other departments, but Downing Street was unable to say which specific projects would be scrapped or scaled back to pay for increased defence spending.

Asked if there was a list of projects that would be cut, the Prime Minister's official spokesman said details would be provided 'by the autumn'.

Asked whether hospital building projects would be protected from cuts to capital budgets, he added: 'Thanks to this Government's record investment in the NHS there will be no impact to funding for frontline services.

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'This will also not affect the timetable for delivery of the seven Raac-affected hospitals which we've prioritised or Wave 1 projects of the New Hospital Programme and we still plan to spend more than £15 billion on capital health investment.'

Asked about other hospital programmes, the spokesman repeated that the cuts would not affect the Raac-affected hospitals or the first wave of the Government's new hospitals programme.

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