Defence to get ‘£18 billion boost’ ahead of Labour leadership contest
Investment is hailed as ‘great news’ by Labour insiders, but falls short of £28 billion MoD spending needs
Defence spending is set to be boosted by £18 billion next week, an increase expected to be approved by Sir Keir Starmer in a bid to save his premiership.
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The “big, bold offer” on defence investment is understood to form the pushback effort by the embattled Prime Minister to convince his party to stand by him, amid the expected leadership challenge.
To be spread over the next four years, this investment would allow the Ministry of Defence (MoD) to fulfil all of the 62 recommendations featured in the strategic defence review, enabling the armed forces to modernise and prepare to fight a future war.
Reportedly, Starmer was given a second option, which would have cost £12 billion instead of the heftier £18 billion.
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However, he chose to stick by the larger sum, seen as a response to his critics, who have said he needs to show greater boldness.
This follows a week of lobbying by Jonathan Powell, the national security adviser, and John Healey, the Defence Secretary.
Both figures have warned that the Armed Forces do not have the capability to fight a future war without a significant increase in spending.
Dame Antonia Romeo, the cabinet secretary, is also understood to have pushed for a big increase in spending.
Defence sources last night described the £18 billion increase as “great news”.
Despite the increase, the £18 billion falls short of the £28bn black hole, which the MoD has said is needed to meet its forecast costs in the next four years.
Starmer’s attempt to elevate security and defence comes after a bruising week for his premiership.
Losing the support of five ministers, including Wes Streeting, half of his backbenchers and all 11 of Labour’s affiliated unions in the past week, the Prime Minister's support has been fracturing.
On Friday, Andy Burnham was cleared to stand in the upcoming Makerfield by-election.
Should Burnham be successful in his bid for Parliament, this would pave the way for him to challenge Starmer as early as next month.
Loyalists have said that Starmer could consider standing down if Burnham wins the by-election, with sources close to the Prime Minister admitting that he is much less defiant privately than in public.