US defence spending bill: key investments in Air Force, Navy programmes

Last week, as part of the agreement that ended the longest US government shutdown in history, Congress passed critical defence spending legislation, including billions of dollars earmarked for key Air Force and Navy programmes.

These funds will not only support the development of cutting-edge military technology but also address strategic needs across multiple service branches, with significant investments in aircraft, naval vessels, and missile defence systems, as an article by Defense News puts it.

Among the most notable provisions in the Continuing Appropriations Act of 2026 is nearly $400 million for the Air Force’s E-7 Wedgetail programme, which is designed to replace the aging fleet of E-3 Sentry AWACS (Airborne Warning and Control System) aircraft. Originally, the Pentagon had planned to cancel the Wedgetail programme due to delays, cost increases, and concerns about its survivability in contested environments. 

However, the new legislation redirects up to $200 million from unobligated aircraft procurement funds and adds $200 million in additional research and development, ensuring the E-7’s continued development.

As the Defense News highlights, this funding comes amid opposition from lawmakers and retired Air Force generals, who argue the Wedgetail is essential for future military operations.

"These funds will directly support the B-21’s arrival and ensure Dyess remains the tip of the spear for America’s air arsenal," said Rep. Jodey Arrington, R-Texas, of a similar investment in the B-21 Raider programme.

The push for the E-7 also highlights a broader debate within the Pentagon about the evolving role of airborne battle management systems, with Defense Secretary Pete Hegseth casting doubt on the programme’s future and emphasising the potential of space-based intelligence, surveillance, and reconnaissance.

Despite the Pentagon's reservations, bipartisan support has kept the Wedgetail programme alive, with the $400 million boost in spending ensuring its rapid prototyping remains on schedule.

On the naval front, the bill allocates more than $1 billion to support key Navy programmes, including $510.4 million for the Virginia-class submarine programme and an additional $150 million for the carrier replacement programme. 

This funding is part of the Navy’s broader strategy to replace older Nimitz-class aircraft carriers with newer, larger Ford-class carriers that incorporate cutting-edge technologies and more advanced capabilities.

In terms of military construction, the legislation also includes $600 million for the B-21 Raider, Northrop Grumman’s next-generation nuclear-capable stealth bomber.

The Air Force will use this funding to build state-of-the-art facilities at Ellsworth Air Force Base in South Dakota, Whiteman Air Force Base in Missouri, and Dyess Air Force Base in Texas. The latter will receive the largest single investment, totaling $91 million, which Rep. Arrington called “the largest investment in Dyess history.”

This funding ensures that these bases will be prepared for the arrival of the B-21 in the coming years. Additionally, the bill provides $130 million for infrastructure to support the LGM-35A Sentinel programme, designed to replace the US nuclear Minuteman III intercontinental ballistic missile (ICBM) system.

Finally, significant investments are also made in F-35A facilities at Eglin Air Force Base in Florida, with $125 million dedicated to new test hangars and maintenance infrastructure for the fighter jet, including $50 million for a two-bay test hangar and $52 million for a maintenance hangar.

In total, the defence spending bill outlines nearly $4 billion in construction projects for the Air Force, signaling a strong commitment to modernising critical military infrastructure as the US continues to confront complex global threats. 

By Sabina Mammadli