Russian Government Faces Tough Choices as Military Spending Rises, Warns UK Intelligence

UK intelligence warns that a further increase in military spending in Russia will force the government to make difficult decisions, such as freezing spending on education and health, which will lead to a real reduction in these sectors due to inflation. The government will need to allocate more funds for the increasing number of wounded soldiers and families of those killed in the war against Ukraine. The constant increase in military spending is likely to contribute to inflationary pressure and increase financial strain on Russian businesses. However, reducing military spending could eliminate the main driver of Russian economic activity in the face of sanctions. UK intelligence estimates that Russia has suffered significant losses in dead and seriously wounded personnel, with up to 290,000 people affected.