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Coalition Demands 3% Defence Spending as Shadow Minister Warns of "Paper Australian Defence Force"

Coalition Demands 3% Defence Spending as Shadow Minister Warns of "Paper Australian Defence Force"

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Jaime Bada
Jul 01, 2025
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Coalition Demands 3% Defence Spending as Shadow Minister Warns of "Paper Australian Defence Force"
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Australia's opposition coalition is demanding the government increase defence spending to at least 3% of GDP, warning the nation risks developing a "paper Australian Defence Force" amid what leaders describe as the most dangerous period since World War II.

Shadow Defence Minister Angus Taylor delivered the stark assessment during a Washington interview Monday, criticizing the Albanese government's defence preparedness as insufficient for current strategic challenges.

"We clearly need to get a much higher level of defence expenditure," Taylor said during an appearance on Sky News AM Agenda. "We should be at least 3% of GDP. That's about a percentage point up. We're currently sitting on about 2%."

Taylor's comments come as Australia faces mounting pressure from the United States to increase defence contributions, with Defence Secretary Pete Hegseth reportedly seeking commitments of 3.5% of GDP from allies.

Critical Capabilities Underfunded

The shadow minister identified multiple areas where Australia's defence capabilities remain inadequately resourced, citing the government's own defence strategic review as evidence of systemic underfunding.

"We haven't made progress on manufacturing our own missiles, and we know these are critical capabilities at a time like this," Taylor said. "We've underfunded Henderson, which is the shipyard that will be critical to developing nuclear subs and making sure that AUKUS realises its full potential."

Australia's submarine program under the AUKUS partnership with Britain and the United States represents the nation's largest defence investment, aimed at replacing aging Collins-class submarines with nuclear-powered vessels.

Taylor also highlighted deficiencies in northern base hardening, drone capabilities, and personnel recruitment as evidence of strategic shortcomings.

"We haven't hardened our northern facilities, which is so important, at a time like this," he said. "We're not investing in the drone and counter-drone capability that it's very clear coming out of the Ukraine and Iran that this is a capability that is more important than ever."


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