This paper employs the concept of ‘defence news’ proposed by Ramey (2009) to develop a time
series of shocks to UK defence spending in the interwar period at a quarterly frequency. ‘Defence
news’ is the present value of changes to defence spending plans. Information on this is taken from
contemporary sources, in particular, The Economist. The estimates in this paper can be used as an
input to assessing the size of the fiscal multiplier in interwar Britain as in Crafts and Mills (2012)
