UK economy could transform into 'Silicon Valley of defence' to boost growth, Jeremy Hunt insists
Former Chancellor tells LBC ending Britain's reliance on America for defence could unlock billions for UK economy.
Britain has a “big opportunity” to turn its technology sector into the “next Silicon Valley” by bolstering defence spending, Jeremy Hunt has told LBC.
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Speaking to Nick Ferrari at Breakfast, the former Conservative Chancellor and Foreign Secretary urged Sir Keir Starmer to ramp up military spending amid reports a funding boost is being blocked Chancellor Rachel Reeves.
“What he won't do is unblock this argument between the Treasury and the Ministry of Defence, this £28 billion black hole in their funding over the next four years that they are very, very worried about and actually make sure that we stand on our own two feet when it comes to defending the country,” Sir Jeremy told Nick.
He said this would allow Britain to slash its reliance on the US for defence as well as bring a “big opportunity for the British economy".
Sir Jeremy said: “Our big opportunity with our technology sector is to become the world's next Silicon Valley. And how did the original Silicon Valley start?
"On the campus of Stanford University in California, it started with the Department of Defence and NASA spending huge amounts on defence."
Read more: Britain cannot defend itself because of ballooning benefits bill, ex-defence chiefs warn
“So this is actually a very big opportunity for the UK if we get it right.”
It comes after former defence chiefs warned Britain cannot defend itself while the benefit bill remains high.
The former chief of Nato, Lord George Robertson, accused Sir Keir Starmer and Ms Reeves of "corrosive complacency" on Tuesday, several other defence figures have also sounded the alarm about Britain's unpreparedness for potential war.
Lord Robertson said the UK is underprepared for war due to the “ever-expanding welfare budget” and “corrosive complacency” from Sir Keir Starmer’s government.
Despite the calls, Ms Reeves is reportedly only proposing increasing defence spending by less than £10 billion over the next four years.
The Chancellor has outlined plans for a "limited" increase in military spending amid renewed concern over the public finances caused by the Iran war, according to the Times.
This comes despite a reported funding gap of £28 billion on existing plans to boost Britain's armed forces.
Speaking to LBC's Tonight with Andrew Marr, Lord Stirrup, the former Chief of the Defence Staff, warned that "we need to get our act together very quickly or we're going to be standing into serious danger".
Lord Stirrup, who held Britain’s most senior military role between 2006 and 2010, criticised the government for not sufficiently investing in the country's defence.
Speaking to LBC's Andrew Marr, the ex-Armed Forces chief said: “This government is the one which says, rightly, that the security of the nation and its people is their first priority. Well, it's all very well to say that, but you need to back that up with deeds, and so far they're not doing it.”