Defense Secretary Hegseth tells Senate panel Iran war cost $48b so far; warns Pentagon quickly short on cash
Patty MurrayBetty McCollumPete HegsethDonald TrumpRussell VoughtKirsten GillibrandUnited States Department of DefenseUnited States Air ForceU.S. CongressU.S. Department of DefenseUnited States CongressWhite HouseUnited States House of RepresentativesUnited States Navy

Defense Secretary Hegseth tells Senate panel Iran war cost $48b so far; warns Pentagon quickly short on cash

Defense Secretary Pete Hegseth informed a Senate panel that the U.S. war in Iran has cost approximately $48 billion to date, warning of an impending budget shortfall that could impact military readiness. Lawmakers expressed frustration over the lack of communication regarding the conflict and funding needs.

The Straits Times The Straits Times+1 source22 July 2026 · 08:40 UTC
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Defense Secretary Pete Hegseth revealed to a Senate panel that the U.S. war in Iran has cost approximately US$48 billion so far, including anticipated expenses through September 30.12

Hegseth's testimony highlighted a growing concern over the Pentagon's budget, which is facing an urgent shortfall due to escalating military operations.

“The Pentagon faces an urgent budget shortfall caused largely by the war in Iran,” he stated, noting that critical funding lines could run out within weeks.3

Lawmakers from both parties expressed frustration over the administration's lack of communication regarding the conflict.5

“The president is threatening escalation and war crimes,” said Senator Patty Murray, emphasizing the uncertainty surrounding the administration's plans.

The White House has requested US$67 billion in immediate funding to cover war costs, but Congress remains gridlocked.6

“It’s either over, or it’s not over,” remarked Senator Kirsten Gillibrand, reflecting bipartisan concerns about the administration's messaging.

As the conflict continues, the Pentagon has already begun limiting training and maintenance due to budget constraints, raising alarms about military readiness.

The House is expected to vote on a framework authorizing US$73 billion in fresh defense spending, slightly exceeding the White House's request, but any resolution may be delayed due to the upcoming recess.

“The reason why they (people) are so upset with you and this administration is because the words you have used in the past don’t add up,” Gillibrand added, underscoring the growing discontent among lawmakers.

Key Insight
“Trump asked Congress in June for nearly $90 billion in additional funding, most of it related to the Iran conflict. Senator Patty Murray said at the hearing that Trump 'is threatening escalation and war crimes' and suggested this could be another forever war.”
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CuriousCats studied:
1
The Straits TimesThe Straits Times
“WASHINGTON – The cost of the United States’ war in Iran has risen to US$37.5 billion (S$48.4 billion) so far, US Defense Secretary Pete Hegseth said on July 21”
The Straits Times →
2
The Washington Post
“The Pentagon faces an urgent budget shortfall caused largely by the war in Iran, with some critical lines of funding set to run out within weeks even as President Donald Trump escalates the conflict with Tehran, according to lawmakers and current and former U.S. officials.”
The Washington Post →
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