US 2026 Defence Bill Hits $901B—Nearly 10X Larger Than Health Budget

On Sunday, US lawmakers unveiled a sprawling 3,000-page defence policy bill to authorise $901 billion (£676.3 billion) in annual national security spending for 2026, representing an increase of $8 billion (£6 billion) compared to the figures sought by the Trump Administration.

The bill allocates $400 million (£300.2 million) in military support to Ukraine and proposes a 3.8% annual pay rise for enlisted troops. However, it notably omits a bipartisan initiative aimed at significantly increasing housing construction for military personnel, signalling ongoing debates over resource prioritisation.

Among its contentious provisions, the bill addresses gender issues within the military, echoing the Trump Administration's efforts to curb what it describes as 'woke' ideology. It includes a ban on transgender women participating in women's athletic programmes at US service academies, reflecting a broader ideological stance. House Speaker Mike Johnson stated that the legislation would advance former President Trump's agenda by 'ending woke ideology at the Pentagon, securing the border, revitalising the defence industrial base, and restoring the warrior ethos.'

The legislation aims to modernise how the US Defence Department executes its requirements through enhanced research, contracting, and manufacturing processes. It seeks to overhaul weapons procurement procedures and strengthen the network of organisations providing diverse materials, products, and services for the US Armed Forces. Additionally, the bill intends to undo several Biden-era climate policies, including restrictions on the DoD's use of electric and hybrid vehicles, and introduces safeguards on US investments in certain Chinese technologies.

Furthermore, the bill repeals two resolutions that authorised military force in Iraq in 1991 and 2002, signalling a shift in legislative approach to military engagement.

In stark contrast, the US Department of Health and Human Services (HHS) proposed a discretionary budget of only $94.7 billion (£71 billion) for fiscal 2026, which is nearly 10 times lower than the defence budget. This substantial disparity underscores the differing priorities within the federal budget.

HHS FY2026 Budget in Brief

The Trump Administration justified its proposed cuts to the discretionary budget as a means to facilitate the department's restructuring, streamline operations, and reduce taxpayer expenditure. Despite the reductions, the administration announced an increase of $500 million (£375.3 million) for the 'Make America Health Again' (MAHA) initiative compared with 2025.

Overall, the proposal reduces allocations by $1.7 billion (£1.2 billion) across various programmes formerly managed by the Health Resources and Services Administration. Notably, funding for the Centers for Disease Control and Prevention, the National Institutes of Health, the Substance Abuse and Mental Health Services Administration, and the Centres for Medicare and Medicaid Services are each cut by $3.5 billion (£2.6 billion), $17.6 billion (£13.2 billion), $1 billion (£750.6 million), and $674 million (£505.9 million), respectively.

The Administration emphasised that these cuts would not impact benefits for Medicare and Medicaid recipients. It argued that many of the programmes slated for reduction are duplicative of other federal initiatives, contribute to wasteful spending, or support risky research and ideologies that could undermine public health.

'This bill prioritises cutting-edge biomedical research, strengthens our medical supply chains and biodefence infrastructure, and ensures support for rural hospitals and public health programmes,' said Appropriations Committee Chair Tom Cole. 'With each measure, we reaffirm that Making America Healthy Again is not just a slogan, but a promise.'

The administration also proposed to eliminate the Sexual Risk Avoidance Programme, citing its limited reach—serving under 1% of youth nationwide—and its similarity to the mandatory Sexual Risk Avoidance Education programme. Similarly, the budget plans to abolish the Teen Pregnancy Prevention programme, deeming it duplicative of the Personal Responsibility Education initiative run by the Administration for Children and Families.

As these proposals move through Congress, the stark contrast between the expansive defence budget and the scaled-back health expenditure highlights the government's shifting priorities amid a complex domestic and international landscape. While military spending continues to dominate the national agenda, efforts to streamline and cut healthcare programmes reflect ongoing debates over fiscal responsibility and the best way to serve the American public.