PARLIAMENTARY WRITTEN QUESTION
(21 April 2026)

To ask the Chancellor of the Exchequer, what assessment her Department has made of the potential merits of using defence bonds as a way to finance capital-intensive commitments in the Strategic Defence Review.

Asked by:
James MacCleary (Liberal Democrat)

The majority of government borrowing is financed through the issuance of UK government bonds (known as gilts) by the UK Debt Management Office (DMO). In addition, some of the government’s financing is raised in the retail savings market through products offered by National Savings and Investments (NS&I). Finance raised via gilts or NS&I products is generally not tied to specific areas of government spending, in order to offer the best value-for-money for taxpayers.

The government keeps the introduction of new debt financing instruments under regular review.

Answered by:
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