Prime Minister Sir Keir Starmer has set out plans to increase defence spending to 2.5% of national income by 2027, as peace talks to end the war in Ukraine gather pace.
The PM said he would cut the UK’s aid budget to fund the rise in defence spending, which is currently 2.3% of GDP.
The announcement comes ahead of a high-stakes meeting between Sir Keir and US President Donald Trump at the White House on Thursday.
President Trump has been urging European countries to spend more on defence, as global powers attempt to broker a deal to end the war in Ukraine.
Sir Keir said the UK’s aid budget would be reduced from 0.5% of GDP to 0.3% in 2027, “fully funding the investment in defence”.
He said that would mean spending £13.4bn more on defence every year from 2027.
The prime minister said defence spending would rise to 2.6% of GDP by 2027, once the contribution of intelligence services to defence had been factored in.
Urging European allies to step up, Sir Keir said the UK would also set out a “clear ambition” to increase defence spending to 3% of GDP after the next general election.
“This investment means that the UK will strengthen its position as a leader in Nato and in the collective defence of our continent, and we should welcome that role,” Sir Keir told MPs.
He said in the short term, the boost in defence spending could only be funded through “hard choices”, adding the aid cut was not “an announcement I am happy to make”.
The prime minister said the UK would “continue to play a humanitarian role in Sudan, in Ukraine and in Gaza, tackling climate change, supporting multinational efforts on global health and challenges like vaccination”.
But at times like this, he said, “the defence and security of the British people must always come first, and that is the number one priority of this government”.
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