The United Kingdom is preparing a major funding package worth nearly £6 billion for its next-generation stealth fighter jet programme being developed with Japan and Italy, according to a report by the Financial Times. The financial support is expected to help the three partner nations move ahead with a long-term contract for the Global Combat Air Programme (GCAP), which aims to build an advanced sixth-generation combat aircraft by 2035.

The proposed package would support the design and development phase of the programme. It would also allow the three countries to sign a multiyear agreement with key defence companies involved in the project. Sources familiar with the matter told the Financial Times that the current short-term funding arrangement, announced in March, will end next month, making a long-term commitment necessary for the programme to continue smoothly.

The development comes at a sensitive political moment for British Prime Minister Keir Starmer. Defence spending has become an important issue in British politics and is adding pressure on his leadership. According to the report, the GCAP funding proposal is likely to be included as part of a wider defence spending agreement. However, the proposal still needs approval from the UK Treasury before it can move forward.

Japan has reportedly become increasingly worried about delays linked to Britain’s internal discussions on military spending. Tokyo fears that uncertainty over long-term funding could slow down the fighter jet programme and affect its timelines. The issue was reportedly discussed during British Foreign Secretary Yvette Cooper’s recent visit to Tokyo.

One official quoted in the report said Japan’s defence minister Shinjiro Koizumi had been “unusually blunt” during the discussions. The official said Koizumi stressed that Britain needed to move quickly on a full long-term contract instead of relying on another temporary funding arrangement. Japan is reportedly keen to avoid further uncertainty around the future of the programme.

The report also stated that Tokyo is worried about political uncertainty in Britain and how it could affect diplomatic ties related to the project. Reportedly, there are concerns that Starmer’s political future could impact a planned visit next month by Japanese Prime Minister Sanae Takaichi to the UK.

The Global Combat Air Programme is one of the most ambitious defence partnerships currently underway between the three countries. The initiative was officially launched to develop a sixth-generation stealth fighter jet capable of competing with advanced military aircraft produced by the United States and other global powers. The aircraft is expected to include advanced stealth features, next-generation weapons systems and cutting-edge defence technologies.

The three countries formally strengthened the partnership by signing an international treaty in December 2023. The agreement laid the foundation for deeper cooperation in defence technology and aircraft development. The project is seen as strategically important for all three nations as they look to strengthen their defence capabilities in an increasingly competitive global security environment.

The funding package would also provide support to some of the biggest defence companies involved in the programme. These include BAE Systems, Leonardo and the Japan Aircraft Industrial Enhancement Company, which is backed by Mitsubishi Heavy Industries. These companies are expected to play a central role in the aircraft’s design, engineering and technology integration.

Responding to the report, the UK Ministry of Defence said Britain remained “committed” to the GCAP project. The ministry added, “Our focus is on continuing to work closely with Italy and Japan on the next steps towards the full international contract.”

The latest development comes at a time when India is also speeding up work on its own advanced stealth fighter aircraft programme known as the Advanced Medium Combat Aircraft, or AMCA. The Indian government’s Cabinet Committee on Security recently approved the execution model for the project. State-run aerospace company Hindustan Aeronautics Limited is expected to play a major role in the programme along with private sector firms.

India’s AMCA project is aimed at developing a fifth-generation stealth fighter aircraft with advanced combat and surveillance capabilities. The progress of projects like GCAP and AMCA highlights the growing global focus on next-generation military aviation as countries invest heavily in advanced defence technologies to strengthen their air power capabilities.