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3% by 2028: IPA, Strategic Analysis Australia set out ambitious defence agenda for next government

The Institute of Public Affairs and Strategic Analysis Australia have formally launched No Higher Priority: A Blueprint for immediate action on Australia’s defence 2025-2028 with a series of timely recommendations for the next government.

The Institute of Public Affairs and Strategic Analysis Australia have formally launched No Higher Priority: A Blueprint for immediate action on Australia’s defence 2025-2028 with a series of timely recommendations for the next government.

As Australia navigates its most precarious security environment since the Second World War, successive governments have left the nation alarmingly unprepared to defend itself. In response, a new defence blueprint has been launched, outlining urgent actions required to fortify Australia’s strategic position in an increasingly volatile Indo-Pacific region.

The report, titled No Higher Priority: A blueprint for immediate action on Australia’s defence 2025-2028, was unveiled in Sydney by General (Ret’d) Sir Peter Cosgrove AK AC (Mil) CVO MC, one of the nation’s most respected military leaders. The book, produced by the Institute of Public Affairs (IPA) in partnership with Strategic Analysis Australia, lays bare the deteriorating security landscape facing Australia and proposes concrete steps for a future government to bolster national defence.

Scott Hargreaves, executive director of the IPA, warned that Australia’s strategic posture has been left dangerously exposed. “This new blueprint demonstrates how the next government can reverse decades of neglect and fortify Australia’s defences before it is too late,” Hargreaves said.

Australia’s defence vulnerabilities have been magnified by rising tensions in the Indo-Pacific, with an increasingly assertive China, heightened conflict risks in the Taiwan Strait and growing regional militarisation. With Australia’s reliance on the US alliance under scrutiny amid global uncertainty, experts have long called for urgent self-reliance measures.

Against this backdrop, No Higher Priority presents 36 key recommendations that can be enacted within a single parliamentary term. These include:

  • Increasing Australia’s defence budget to 3 per cent of gross domestic product by 2028.
  • Acquiring B-21 bombers and two additional squadrons of F-35B fighter jets to strengthen airpower while awaiting AUKUS nuclear submarines.
  • Prioritising the defence of northern Australia, including bolstering forces in the Christmas and Cocos Islands, Norfolk Island, and Papua New Guinea.
  • Reducing bureaucracy within the Australian Defence Force by cutting senior officer and public service executive positions.
  • Relocating the Australian Defence Force Academy from Canberra to enhance operational readiness.
  • Expanding domestic drone manufacturing by slashing regulatory barriers, allowing small and medium enterprises greater access to defence contracts.
  • Ending the lease of Darwin Port to China and issuing a joint “Darwin Statement” to reaffirm Australia’s commitment to the US alliance, particularly in anticipation of a potential second Trump administration in Washington.

Hargreaves stressed the need for urgency, citing recent global conflicts as evidence that modern warfare is rapidly evolving. “Drones, missiles and mines have fundamentally changed the battlefield, yet Australia remains drastically underinvested in these critical capabilities,” he said. “There should be no higher priority for our leaders than to rebuild our defence capabilities and send a clear message to both our adversaries and allies that Australia is prepared to defend itself.”

Peter Jennings AO, director of Strategic Analysis Australia, echoed these concerns, noting that successive governments have failed to translate growing regional threats into decisive policy action. “You may not be thinking of war, but war is thinking of you. That is the reality of the world we now live in,” Jennings said.

He emphasised that time is running out for Australia to strengthen its military preparedness. “Our hope is that this blueprint provides a roadmap for any government – regardless of political affiliation – to act decisively within a single term. We do not have another decade to waste; work to rebuild our defences must start immediately.”

With the 2025 federal election looming, pressure is mounting on both major parties to prioritise national security. Whether Australia rises to meet these challenges will determine its ability to navigate an increasingly dangerous world with confidence and resilience.

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