Labour has been heavily criticised for prioritising welfare spending over a credible defence plan, as Sir Keir Starmer's long-awaited defence investment package fell short of military needs. The plan, which provides an additional £15 billion to the Ministry of Defence, is significantly below the £28 billion required to meet the recommendations of last year's Strategic Defence Review.
Funding shortfall and NATO targets
The defence investment plan (DIP) will see UK defence spending rise to 2.68% of GDP by 2030, missing the NATO target of 3.5% by 2035 and falling short of the 5% demanded by US President Donald Trump. Defence insiders warned that the cash was still below 2.68%, prompting two defence ministers to resign in protest earlier this month.
Shadow Defence Secretary James Cartlidge blasted the government, saying: "Where is the defence of the realm, which is the number one responsibility of any government? Where was that in his speech?" He added: "If the government doesn't have a plan to cut welfare and fund defence, they are not going to be successful."
Concerns from former defence secretary
Former Defence Secretary John Healey, who resigned last month after learning the military would receive an uplift of just £13.5 billion, expressed concern that the UK would be spending only 2.7% of GDP in 2030, the year NATO has warned Russia could attack. He said: "European security is at stake. The PM has said today that 3% must be the number 1 priority for the next spending review."
Defence Select Committee member Mike Martin MP told the Daily Express: "The main point is two weeks ago John Healey resigned and said the amount offered in the DIP left us unsafe. We have seen a small increase since, but does that make us safe? I don't think so." He highlighted the threat from drones and missiles, stating: "We have no defence against that."
Impact on military modernisation
The plan allocates additional money for drone production, unmanned navy vessels, and the nuclear deterrent, but critics argue it does not modernise the military quickly enough. Some £64 billion is earmarked for nuclear weapons, fuel, and technology. The government has pledged over £5 billion over four years for a "drone transformation," learning lessons from Ukraine where drones account for around 90% of enemy kills.
However, Martin warned that the shift to a "hybrid" Royal Navy with smaller autonomous vessels comes at the expense of Type 45 Destroyers, saying: "We now see our only protection from ballistic missiles in Type 45 Destroyers being ditched for uncrewed vessels, which are nothing more than a PowerPoint slide."
Political implications
The release of the plan, despite the Prime Minister's resignation, is seen as an attempt to firm up his legacy on defence. However, it creates a headache for potential incoming Prime Minister Andy Burnham, with a nearly £5 billion black hole exposed in the scheme. Officials told the Daily Express that the government's commitment to defence was absolute, promising it would be the priority in the next spending review.
Alexander Fitzgerald, CEO of Isembard, urged the government to invest in an industrial base capable of scaling production of drones and other equipment, stating: "Factories win wars. And high rates of production build factories. So let's stop agonising about this plan and commit to increasing production today."



