Defence Secretary Dan Jarvis has stated he is confident that Andy Burnham, the expected successor to Sir Keir Starmer, will provide the necessary investment for Britain's defence, despite leaving the next prime minister with a £4.7 billion funding gap.
Jarvis secures £15 billion defence uplift
During a visit to missile manufacturer Cambridge Aerospace on Wednesday, Jarvis told reporters he had the “assurance that, as prime minister, Andy Burnham will make sure that we’ve got the investment coming into defence”. However, he acknowledged there would need to be “conversations” with Burnham, who is expected to take over from Starmer in less than three weeks, vowing he would “fight hard for defence”.
Tuesday’s Defence Investment Plan (Dip) saw Jarvis secure a £15 billion uplift in defence spending, largely funded by cuts to other departments’ capital budgets. But the Treasury has yet to outline how it will fund almost a third of the increase, leaving £4.7 billion of funding to be determined at the next budget.
Funding gap poses challenge for Burnham
This decision leaves Burnham with a potential dilemma for his first budget, as he faces a choice between higher taxes, increased borrowing, or further spending cuts to fill the gap. Jarvis defended postponing some funding decisions until the budget, stating it was “not unreasonable” that “those kind of commitments are made in the context of a major fiscal event”.
When asked where the extra money would come from, Jarvis said it was up to the Treasury, adding: “My job is about securing more money for defence.”
Timing of Burnham's briefing questioned
Defence minister Luke Pollard suggested that Burnham only learned about the £4.7 billion gap when the Treasury figures were published on Tuesday. Pollard told Sky News: “Downing Street have a close dialogue with Andy’s team… I understand they’ve been keeping him close to the process, and told him yesterday when the Treasury published the statement and the breakdown of the financial costs.” However, he later declined to answer questions on when Burnham had been informed of the financial details, telling BBC Radio 4’s Today programme he was “not involved with those conversations”.
The long-delayed plan to fund the armed forces was published on Tuesday, including the £15 billion boost to spending. In a written statement to Parliament, Chancellor Rachel Reeves said only two-thirds of the sum – £10.3 billion – had been identified, while the remaining £4.7 billion would be “confirmed at Budget 2026, in a fair and balanced way”.
Jarvis denies funding gap is a 'hand grenade'
Prospective prime minister Burnham was briefed on the Dip before its publication, but it is understood he was not told about the need to find an additional tranche of funding in his first budget. Jarvis has denied the funding gap was a hand grenade for the Makerfield MP – Starmer’s likely successor – and his new chancellor, insisting it was “absolutely the opposite”.
He sidestepped repeated questions on whether it had been made clear to Burnham that he was being left with a funding gap. “Of course we’ve been talking to Andy Burnham and his team about this plan,” Jarvis told BBC Newsnight, pointing to Starmer’s focus on a “smooth transition” of power.
Reeves said the Treasury would focus on finding “efficiencies” and cancelling or delaying “lower priority programmes”, while emphasising the Government would not cut day-to-day spending to pay for defence.
Details of the Defence Investment Plan
The plans include billions more for the next generation of stealth jets, the largest ever investment in drone warfare, and confirmation that the UK will buy F-35A planes capable of carrying nuclear bombs. However, older equipment, including two Type 23 frigates and older Chinook and Wildcat helicopters, will be retired.
The Dip was originally due to be published last year, but was delayed in part due to bitter Whitehall wrangling over money. The funding in the Dip comes on top of the £270 billion promised for defence from 2025/26 to 2028/29.
