British Chancellor of the Exchequer Gordon Brown said this afternoon he had put aside an additional £330 million pounds (€475 million) for domestic anti-terrorism protection.
Mr Brown made the announcement at the start of his annual Budget statement to parliament.
He additionally confirmed an already announced extra allocation of £3 billion towards the cost of war in Iraq.
The Chancellor told MPs: "Britain - even in difficult world conditions - is able to meet our military and security costs abroad and at home and the costs of building peace, while maintaining in full our record investment in schools, hospitals, transport and policing."
Britain has experienced the longest period of sustained economic growth and growth in living standards for half a century, Mr Brown said.
The economy has grown uninterrupted in every quarter over the last six years, he added.
PA