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UK to raise defense spending to 2.5% of GDP by 2027, cutting aid budget

British Prime Minister Keir Starmer has announced a significant increase in the UK’s defense budget, raising spending to 2.5% of GDP by 2027. The move comes as geopolitical tensions persist, particularly in Ukraine, prompting calls for greater military investment.

Speaking in the House of Commons on Tuesday, Starmer outlined the government’s plan to boost defense funding while scaling back the UK’s foreign aid budget. The initiative will see an additional £13.4 billion ($16.9 billion) allocated annually to military spending, up from the current level of 2.3% of GDP.

To finance this increase, the UK’s aid budget will be reduced from 0.5% to 0.3% of GDP by 2027, with the savings redirected to defense investments. Starmer emphasized that this decision aligns with growing demands from NATO allies, including former U.S. President Donald Trump, who has urged European nations to contribute more to their collective security.

Beyond the 2.5% target, Starmer stated that once intelligence and security services are included, the UK’s total defense expenditure will reach 2.6% of GDP by 2027. He also signaled a long-term ambition to raise spending to 3% of GDP after the next general election.

The British Prime Minister is scheduled to travel to Washington this week to meet with Trump, where he will reaffirm the UK’s commitment to Ukraine and discuss strengthening transatlantic defense ties.

Starmer stressed that as the conflict in Ukraine evolves, the UK will remain central to international efforts to secure peace, rejecting any suggestion of division between the U.S. and its European allies.

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