Iran war has cost US $37.5bn so far, Hegseth says

Key developments are emerging from the global stage. Iran war has cost US $37. 5bn so far, Hegseth says Figure caption, Watch: Hegseth interrupted several times as he seeks additional Iran war fundingBySareen Habeshian and Gary O'Donoghue, Chief North America correspondent, Reporting fromWashington DCPublished21 July 2026, 23:26 BSTUpdated 10 minutes agoThe war with Iran has cost the US some $37. 5bn (£28bn) so far - an increase of nearly $8bn since the last estimate in May, Defence Secretary Pete Hegseth has said.

In his first appearance before the Senate Appropriations Committee since hostilities between the US and Iran restarted, Hegseth said that military training would have to be curtailed unless lawmakers approved an urgent funding boost. He said he was seeking $87bn in congressional funding for his department, with $67bn of that destined for operations in the Middle East. The hearing was interrupted several times by anti-war protesters, with some shouting "stop bombing our children in Iran and Palestine".

The Details

Hegseth's appearance before the committee came at a pivotal time in the war after three US soldiers were killed in the Middle East. The White House asked Congress in April for $1. 5tn for the Pentagon over the next fiscal year, which would raise American military spending to an all-time high in the modern era.

Why Iran is risking so much over the Strait of Hormuz Published8 hours agoThe US launched a 10th consecutive day of strikes on Monday, and Iran retaliated with strikes of its own against the US and its allies in the Middle East. The defence secretary began Tuesday's testimony by saying, "we live in a dangerous world" and that it required bold and swift action. After being interrupted by protesters, Hegseth went on to say his funding request came at an urgent time.

Critical investments were needed to prevent adversaries from outpacing the US, he continued. "Without these funds, we face critical shortfalls that threaten our ability to also simply pay our service members, rapidly replenish equipment and munitions, and sustain vital operations without disruption," Hegseth said. Every dollar appropriated, he added, would be used to build the "lethality" of US military forces and "reinforce peace through strength".

What Experts Say

Senate Appropriations Committee chairwoman Susan Collins, a Republican, questioned Hegseth over what the impact would be if the budget needs were not met. Hegseth said current and future training for military members would need to be cut without the funds, as he repeatedly blamed former President Joe Biden's administration for what he said was an underfunded military. The most senior Democrat on the committee, Patty Murray, pushed back on the funding request, saying it "does not make a lot of sense" and accused the Trump administration of attempting to "skirt the normal appropriations process".

Asked by Democratic Senator Dick Durbin if he had an estimate for how much the war in Iran has cost so far, Hegseth revealed the $37.

The development has drawn wide international attention, with diplomatic circles watching closely.