Starmer unveils £15bn defence boost but UK spending still lags NATO targets, drawing sharp criticism

The plan: £15bn more, 2.7% of GDP

The Defence Investment Plan adds £15bn to the previously agreed military budget, bringing total defence spending to between £270bn and £298bn over the next four years, depending on the source. The Ministry of Defence's 2026-27 budget reaches £68.3bn. Under the DIP, NATO-qualifying spending will climb to 2.7% of GDP by 2027-28 and remain at that level through the decade, up from the 2.6% settlement that triggered former Defence Secretary John Healey's resignation earlier this month. Starmer called the increase a "huge historic shift for our nation".

By any measure, this is a huge historic shift for our nation and a legacy in which I take pride.

Funding will be drawn from tightening non-military spending, selling assets and cutting international aid. Starmer confirmed that capital projects on roads and energy that are "not immediately vital" will be scrapped.

The political fallout: Healey's protest

John Healey quit on 11 June after being offered a £13.5bn top-up, which he said locked the UK into 2.68% of GDP by 2030 and left the country exposed. The final DIP raises the extra sum to £15bn, still far short of the £28bn officials had sought. Healey acknowledged the improved offer but warned it was insufficient.

Britain will still be spending just 2.7 per cent of GDP in 2030, the date when NATO has warned we could face a Russian attack. European security is at stake.

The former minister demanded a target date for reaching 3% of GDP, a milestone the DIP sets only as an ambition for the next parliament. His exit weakened Starmer, who is days from leaving office; his successor will not be bound by today's numbers.

Military warnings: 'the problem is three years away, the solution ten'

Senior officers condemned the mismatch between the threat timeline and the programme delivery. General Sir Richard Barrons, former head of Joint Forces Command, said the DIP funnels money into long-range assets such as the Global Combat Air Programme and Aukus nuclear submarines, both due in the mid-to-late 2030s.

If your problem is three years away and your solution is ten years off, how does that work?

Admiral Lord Alan West, ex-head of the Royal Navy, said Starmer "ducked the issue" of setting a 3% target by 2030. By contrast, German defence spending is scheduled to hit 3.7% of GDP by 2030 while Poland already spends 4.8%.

NATO commitments: the 4.2% claim and the 3.5% deadline

At the 2025 NATO summit in The Hague, allies pledged to spend 5% of GDP on defence and security, with 3.5% going to core military capabilities by 2035. Starmer said the DIP takes the UK to 4.2% under that commitment, counting the 1.5% share allocated to resilience and infrastructure. But the plan offers no path to the 3.5% core defence mark before 2035, and the next spending review is merely promised with defence as the "No. 1 priority".

Efficiency cuts and drone focus

Defence Secretary Dan Jarvis said the armed forces must shed older kit, including Storm Shadow missiles and a range of helicopters, to free up resources for modern warfare. The MoD has been told to find £11bn of efficiency savings by 2029, and all government departments will surrender 1% of their capital budgets to help fund the increase. Jarvis defended the trade-offs.

Increased spending is only half the story. We have made tough choices, to stop doing things which were designed for another age, and invest in capabilities fit for the next war, not the last one.

The plan singles out drones as a spending priority, channelling £5bn into unmanned systems. But critics, including The Telegraph, argue the UK still underestimates the mass-drone lessons of Ukraine and Iran, calling the budget a "fudge" designed to avert humiliation at the looming NATO summit.