As early as January 1906 Haldane was persuaded by fellow Liberal Imperialist Edward Grey to begin planning for a Continental war in support of the French against the Germans. However, Haldane's first estimates reduced the Army by 16,600 men and reduced expenditure by £2.6m to £28 million, as the Liberals had been elected on a platform of retrenchment. By 1914 Britain spent 3.4% of national income on defence, little more in absolute terms than Austria-Hungary's 6.1%. Army expenditure was determined according to a formula devised by the Esher Committee. In 1900, during the Boer War, army expenditure was £86.8m, by 1910 (a low point, after four years of cuts under the Liberals) it had dropped to £27.6m and by 1914 it had risen back to £29.4m. In March 1914 effective expenditure on the Army, after allowing for increased pensions and £1m set aside for military aviation, was still less than in 1907–8, and £2m less than in 1905-6 (despite a 20% rise in prices since then).