The lack of any targeted funding to improve justice outcomes in the Union Budget 2026-27 shows that India continues to overlook the importance of rule of law to economic growth. To understand government priorities within competing constraints of financial resources, one just has to follow the money.

A recent study of the budgets for the justice system, which includes the police, prisons, judiciary and legal aid departments, has found that across 11 high-GDP States in India such as Gujarat, Maharashtra, Madhya Pradesh, Rajasthan, Karnataka and Uttar Pradesh, there has been a cumulative spend of ₹2 lakh crore towards justice in 2024-25. On average, this accounted for 4.6% of State budgets. In comparison, the Council of Europe’s European Commission for the Efficiency of Justice study, which excluded police services, and was based on information from 2022, shows that Europe only spends about 0.31% of its GDP on justice. Nationally, India spends about ₹450 per capita on the judiciary, ₹9 on free legal aid, ₹150 on prisons and about ₹1,500 on the police.

The India Justice Report noted that across India’s 11 wealthiest and most populous States, policing accounted for over 80% of all justice-related allocations with a spend of ₹1,616 per capita. Such a distribution raises questions about the state’s priorities in delivering justice.

An overview of the system

That the lion’s share of justice expenditure goes to policing is explainable. Policing is an undeniable core function of any State; however the disaggregation of that spending reveals a particular orientation. Most of the funds go towards salaries, and administrative firefighting. Funds for infrastructure, particularly vehicles, computers and other equipment, come next, leaving quite little for areas that affect the quality of policing. For instance, less than 1.5% of the police budget is allocated to training, and roughly only 1% to forensics.

Judiciary budgets accounted for less than 1% of the total State budgets, despite unprecedented caseloads. Across the 11 States, there are 3,500 district courts, which handle seven times the cases of the High Courts and receive only three times the budget. Budgetary allocations are directed towards infrastructure, the salaries of judges and support staff, and training. However, training accounts for just about 1% of judiciary budgets. Based on the population projections of March 2025, the actual strength of the Bench stands at 15 judges per 10 lakh population, which is well below the 1987 Law Commission recommendation of 50 judges per 10 lakh population. Analysis shows that for every judge position in the district judiciary, at least 5-9 other positions are needed for secretarial and clerical functions. While the financial cost of adding judges is not insignificant, India’s economic growth should not be stalled because of severely inadequate judge strength.

Prisons in these 11 States hold 60% of India’s prisoners. The occupancy in these States, which stood at 137% in 2023, was higher than the national average (131%). Prisons accounted for only 0.14% of State budgets. On average, of every ₹100 spent on prison, only ₹0.23 was spent on training. The Justice Report also noted that prisons across India functioned with at least 30% vacancies.

Legal aid received the least amount of funds. Given that legal aid is the primary mechanism through which low-income and marginalised individuals access the justice system, this underinvestment has consequences: limited reach, inadequate representation, and delays in securing legal assistance for those who need it the most.

Systemic priorities

When policing takes the majority of funding for justice systems, it brings to light an architecture which is structured primarily around enforcement and surveillance, not access, adjudication, or rehabilitation. The priority appears to be maintaining law-and-order capacity rather than promoting fairness, and strengthening the broader ecosystem of justice delivery.

A justice system is only as strong as its weakest component. The current distribution of funds suggests that those components most essential for protection and equal access — legal aid, judicial and prison staff training, and independent oversight bodies — are the least supported. An overemphasis on just one component comes at a cost; a crisis in the system which needs to be managed by the other pillars.

The National Crime Record Bureau’s Crime in India 2024 report shows us that 26 lakh people were arrested, a majority of whom belonged to communities which were socially and economically marginalised. This is indicative of a system that is highly efficient at generating cases, arrests, and detentions, but inefficient at supplying remedies.

Another clear example is the treatment given to State Human Rights Commissions (SHRC). Despite their clear statutory mandate to investigate rights violations, review safeguards and provide independent oversight, SHRCs in the highest-GDP States receive a mere 80 paisa per capita. Several operate with over 40% vacancies, and many struggle to perform even basic functions.

This does not imply that policing should be deprioritised, but it does paint a clear picture of an imbalance.

A recalibration of justice budget priorities, one that is firmly grounded in evidence and aligned with what the Constitution mandates would move India closer to a system that is accessible, and people-centred; capable of meeting the needs of all.

Valay Singh is Lead and Co-founder, India Justice Report