Israel

Israel approves £650m public spending cuts to fund defence

Opposition politicians have criticised the government for protecting coalition allocations while slashing funding for public services

October 19, 2026 14:34
Netanyahu and Smotrich GettyImages-1246530757.jpg
Benjamin Netanyahu pictured with finance minister Bezalel Smotrich (Photo: Getty)

This story originally appeared in the JC’s Israel briefing newsletter. You can sign up to the free daily email briefing here.

The Israeli government has approved NIS 2.6 billion (£629 million) in cuts to fund urgent defence procurement, as the military continues to operate across multiple fronts and facing a severe shortage of soldiers.

The 4.9 per cent across-the-board cuts, approved yesterday, will affect ministries including education, health, welfare and transport. Coalition funding – money allocated to fulfil political agreements made between the prime minister's party and coalition partners – has not been touched, with little a week before Israelis head to the polls in what is arguably the most consequential election in the country’s history.

The decision follows mounting pressure from the defence establishment for additional funding after nearly three years of sustained fighting. The IDF has warned that its operations across several fronts are placing increasing demands on its resources and personnel.

To get more Israel news, click here to sign up for our free Israel Briefing newsletter.

Support the world’s oldest Jewish newspaper