UK: Keir Starmer to raise defense spending to 2.5% of GDP by 2027

Britain announced a significant increase in military spending on Tuesday, aiming to send a strong message on burden sharing to President Trump ahead of Prime Minister Keir Starmer’s meeting with him at the White House on Thursday.

Addressing the parliament, Starmer confirmed that the UK would raise its defense spending to 2.5% of gross domestic product by 2027 and further increase it to 3% by the end of the next government’s term, which would be by 2034 at the latest. The additional expenditure will be funded by scaling back development spending.

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The Labour government had previously pledged to raise defense spending to 2.5% of economic output, up from the current 2.3%, but had not set a timeline. The commitment now translates to an additional £13.4 billion ($17 billion) per year on defense between now and 2027.

“We must change our national security posture because a generational challenge demands a generational response,” Starmer said.

He stated that the spending increase would be financed by reducing overseas development aid from 0.5% of GDP to 0.3%, acknowledging the cut with regret. “At times like this, the defense and security of the British people must always come first,” he said.

For years, Trump has urged European allies to take on a larger share of Europe’s defense costs. NATO’s Secretary General, Mark Rutte, recently called on member states to allocate “considerably more” than 3% of their economic output to defense.

Starmer also reaffirmed the importance of NATO and the trans-Atlantic alliance for Europe’s security, distinguishing his stance from Germany’s likely new chancellor, Friedrich Merz, who stated after his party’s election victory on Sunday that Europe should establish an independent security strategy separate from the United States.