Pentagon budget 2027: US Navy seeks to increase topline by nearly a quarter

The proposed US Navy fiscal year 2027 spending request includes funding for aircraft carrier Enterprise, shown here under construction. (Michael Fabey)

The US Navy (USN) is seeking topline funding for fiscal year (FY) 2027 of USD377.5 billion, about USD70 billion or 23% more than its FY 2026 budget, according to USN FY 2027 budget request documents released on 21 April.

The FY 2027 budget request includes USD338.7 billion in discretionary funding and USD38.8 billion in “mandatory” funding.

The documents use “mandatory” to refer to spending that could be added this fiscal year through a potential budget reconciliation process, which only requires a simple majority to pass, and can obviate a Senate filibuster if the legislation meets certain requirements.

USN officials and budget documents said the funding request focuses on modernisation and readiness.

The FY 2027 proposed budget includes USD150 billion for procurement, USD111.2 billion for operations and maintenance, USD36.2 billion for research and development, USD10 billion for military construction, and USD70.1 billion for military personnel, according to budget proposal documents.

“The FY [20]27 budget request is a definitive order to shift our navy from a peacetime posture to a warfighting footing,” Admiral Daryl Caudle, chief of naval operations (CNO) said in statement accompanying the release of the USN budget request documents.

The budget request includes USD65.8 billion in shipbuilding funding for 18 battle force ships and 16 non-battle force ships, compared to about USD47.3 billion enacted for FY 2026, USN budget sources.

That true shipbuilding base is significantly more, though, as the base FY 2026 request was for USD20.8 billion, with the remainder being included in the accompanying reconciliation funding (denoted this year as mandatory funding) approved by lawmakers.