Badenoch accuses Starmer of leaving defence spending 'mess' for Burnham

Conservative leader Kemi Badenoch has sharply criticised what she described as a £5 billion shortfall in the recently unveiled defence investment plan, accusing outgoing prime minister Sir Keir Starmer of leaving his successor with a financial dilemma. The plan, announced on Tuesday, outlined £15 billion in funding intended to enhance the UK’s defence capabilities. However, Defence Minister Luke Pollard informed the BBC that the next chancellor must secure an additional £4.7 billion in the autumn Budget to fully finance the proposals.

During Prime Minister’s Questions, Badenoch inquired whether Andy Burnham, the expected incoming prime minister as of 20 July, had endorsed the plan. In response, Sir Keir dismissed her concerns as “faux outrage,” recalling that the Conservative government had previously reduced defence spending. The Defence Investment Plan (DIP) had been anticipated since last autumn and was pledged ahead of the upcoming NATO summit. Although the £15 billion figure surpasses the previously disclosed £13.5 billion—which reportedly led to the resignations of former Defence Secretary John Healey and ex-Armed Forces Minister Al Carns in protest—it remains significantly below the £28 billion that defence chiefs sought.

Badenoch took issue with the Treasury’s admission that only £10.3 billion in savings had currently been identified to fund the plan. She remarked, “Meanwhile, Britain is spending it all on welfare.” Highlighting the funding gap, she added, “Even the limited plan he has announced has completely unravelled because he hasn’t found the money to pay for it: it’s £5bn short. We all know he is leaving this mess to his successor, so can he confirm that the MP for Makerfield has agreed to fund the shortfall?” Sir Keir, defending the plan, asserted, “I’m proud of this Labour government and any Labour prime minister would stand beside this plan.” Badenoch countered by pointing out that the UK’s defence spending has only increased by 0.01% over the past two years relative to allies, adding, “We can count, the general can count, the Kremlin can count. His plan doesn’t add up.”

Further commentary came from Defence Minister Luke Pollard, who indicated on BBC Breakfast that the next chancellor—regardless of who holds the post—will need to identify the necessary funds in the autumn Budget. Pollard stated: “Just over £4bn will be set out in the autumn Budget,” noting that it is standard practice for governments to announce plans and then provide detailed financing in subsequent budgets, a process he said past administrations have also followed. While expressing his support for Andy Burnham’s prospective leadership, Pollard revealed that Burnham had been informed of the £4.7 billion funding shortfall only on Tuesday when the Treasury released its financial breakdown. He explained to Sky News that Downing Street is maintaining close contact with Burnham’s team, keeping him involved in the process.

Defence Secretary Dan Jarvis echoed the sentiment that discussions about financing the armed forces would need to continue with the incoming prime minister but defended the timing of the plan’s announcement at a “major fiscal event” like the Budget. Speaking during a visit to missile manufacturer Cambridge Aerospace, Jarvis said, “I will want to do more and go further, and it’s my job, working with the chiefs, to make sure that we secure the resource, the investment that we need into defence to honour the commitments that we have made, which I am absolutely determined that we will keep.” Meanwhile, Burnham has not yet publicly addressed how he plans to cover the funding gap or whether the defence budget might be increased further. According to a source close to Burnham, the funding pressure revealed in the recent plan represents yet “another spending pressure” to manage.

Under the outline presented, UK defence spending is set to climb modestly from 2.6% of national income in 2027 to 2.7%, totaling nearly £80 billion by 2030. On Tuesday, Sir Keir conveyed that the UK is on course to spend 3% of GDP on defence within the next parliamentary term but did not specify an exact date for this target—a detail previously urged by defence officials and former Defence Secretary John Healey. He also projected that the DIP would position the UK to meet NATO’s core defence spending benchmark of 3.5% of GDP by 2035. The outgoing prime minister rejected the option of additional borrowing to cover these increases, instead proposing to find funds through a 1% reduction in the long-term investment budgets of other government departments.

As part of these budgetary adjustments, the Department for Transport is expected to save an extra £700 million by reconsidering certain road projects, including the A38 Derby Junctions and A46 Newark Bypass schemes, which face potential cancellation. Concurrently, the Department for Energy Security and Net Zero (DESNZ) is tasked with finding an additional £2 billion in savings, with further details anticipated later this year. These potential cuts have sparked criticism locally: Labour’s East Midlands mayor Claire Ward described the decisions as “completely unacceptable,” while Reform UK MP Robert Jenrick expressed outrage over the lack of public debate, calling the government’s approach “shameful.” Lincoln MP Hamish Falconer lamented the uncertainty surrounding the A46 project, and Mid Derbyshire Labour MP Jonathan Davies warned that reductions in transport spending could hamper economic growth

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