Federal Defense Budget Outlook, FY 2027
Published: May 29, 2026
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Get the early insights into FY 2027 defense funding priorities you need to align your go-forward planning. Gain an understanding of how contractor-addressable growth areas and discretionary funding could reshape opportunities with the Department of Defense.
Get the early insights into FY 2027 defense funding priorities you need to align your go-forward planning. Gain an understanding of how contractor-addressable growth areas and discretionary funding could reshape opportunities with the Department of Defense.
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Key FY 2027 Defense Budget Signals for Contractors:
Explore where defense spending is actually growing in FY 2027 and what it means for your business development priorities. This report highlights the key drivers behind contractor-addressable funding, from modernization investments to agency-level budget shifts. You’ll also gain insight into the risks and uncertainties that could influence how and when those opportunities materialize.
Turn Budget Signals into Smarter Planning

Identify Contractor?Addressable Growth
Understand which budget categories, like equipment and R&D, are driving the largest increases in contractor?addressable funding.

See Where Opportunity Is Shifting
Break down funding changes across defense agencies, Army, Air Force, and Navy to spot emerging market opportunities.

Plan Amid Budget Uncertainty
Evaluate how proposed reconciliation funding and congressional risk could affect opportunity timing and acquisition priorities.
$1.1 trillion The administration is requesting $1.1 trillion in discretionary defense funding for FY 2027, alongside a proposed $350 billion in additional mandatory funding via reconciliation.
Source: Federal Defense Budget Outlook, FY 2027
Get Ahead of FY 2027 Defense Funding Shifts. Get the Free Report
- Total Discretionary and Mandatory Budgets
- Contractor-Addressable Budgets, FY 2025-2027
- Department Analysis
- Defense Agencies
- Army
- Air Force
- Navy
- Issues to Watch