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Defence

  • Week in Business: Will more defence spending mean higher taxes?

    February 27, 2025

    Cutting the international aid budget to boost defence spending – sounds like a fair exchange in a time of war and hazard – but there’s more to this announcement than meets the eye. The Prime Minister was deadly serious when he stood up in the Commons this week to declare that the country faces a [...]

  • Serco’s profit jumps as defence arm grows

    February 27, 2025

    Serco has posted revenue of £4.8bn for 2024, in line with prior guidance, thanks to a notable improvement in organic growth, particularly in its North American Defence business. Serco, the global provider of public services, reported underlying operating profit growth of 10 per cent to £274m, with a sharp 30 per cent increase in the [...]

  • PMQs: Starmer won’t confirm if Chagos deal money included in defence rise

    February 26, 2025

    Keir Starmer has declined to confirm whether money spent on the Chagos Islands deal will be included in the rise in defence spending. The UK is in talks with Mauritius about handing over sovereignty of the British Indian Ocean Territory but leasing back the strategic Diego Garcia military base, which the US uses. The Prime [...]

  • Keir Starmer’s defence pledge will prompt ‘tough choices’ on tax

    February 26, 2025

    The Prime Minister confirmed yesterday that defence spending will rise to 2.5 per cent of GDP by 2027, up from 2.3 per cent at the moment.

  • The West has been free riding on US defence spending

    February 25, 2025

    The West has been free riding on US defence spending for decades. It's no surprise Trump is now calling us to account, writes Paul Ormerod.

  • UK defence stocks surge after Keir Starmer spending pledge

    February 25, 2025

    Stocks in UK weapons manufacturers are having another strong week after Prime Minister Keir Starmer pledged to increase British defence spending to its highest in decades. Starmer announced the “biggest sustained increase in defence spending since the end of the Cold War”, with the UK set to increase arms spending from 2.3 per cent to [...]

  • Defence spending to rise to 2.5 per cent by 2027 via aid cuts, Starmer confirms

    February 25, 2025

    Sir Keir Starmer has announced the “biggest sustained increase in defence spending since the end of the Cold War” as he confirmed the UK would spend 2.5 per cent of GDP [gross domestic product] by 2027. The Prime Minister unveiled the policy in a statement to the House of Commons after reports he was set [...]

  • Ukraine: Russia ‘does not hold all the cards’, Starmer tells Kyiv conference

    February 24, 2025

    Keir Starmer has insisted “Russia does not hold all the cards in this war” to a conference in Kyiv to mark the third anniversary of Vladimir Putin’s illegal invasion of Ukraine. The Prime Minister has promised further “sweeping sanctions” to push the Russian president towards concessions in peace talks and called for a US backstop [...]

  • War, what is it good for? The defence industry

    February 24, 2025

    The government has announced some of the ministry of defence in over 50 years, and there is one important element which should be firmly on the radar of business, says Eliot Wilson Last week the defence secretary, John Healey, gave a speech at the Institute for Government (IfG) on “reforming UK defence”. What would normally [...]

  • Defence spending: 2.5 per cent of GDP is ‘ambitious,’ minister says

    February 23, 2025

    Raising UK defence spending to 2.5 per cent of national income is “ambitious”, a cabinet minister has insisted as the government faces pressure to increase investment. It comes amid uncertainty over the future of the war in Ukraine, as the US began negotiations with Russia, excluding Kyiv from talks. Education secretary Bridget Phillipson sought to [...]

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