Prime Minister Keir Starmer faced MPs in his first Prime Minister's Questions since unveiling the controversial Defence Investment Plan, as leadership front-runner Andy Burnham set out his vision to fix a "broken" system.
Defence Funding Gap Raises Concerns
Sir Keir Starmer announced £15 billion of spending over the next four years for the Defence Investment Plan (Dip), but questions have been raised over a £4.7 billion funding gap left for Burnham to plug. In a 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".
Defence Secretary Dan Jarvis denied the funding gap was a hand grenade for the new Makerfield MP after a Burnham ally likened it to an "unexploded bomb".
Burnham's Vision for Power Shift
On Monday, Andy Burnham made his first major speech since Starmer said he would step down. He set forward his blueprint for the top job, including a promise to kickstart the biggest council house building drive since the post-war era. Burnham also vowed to deliver "the biggest rebalancing of power our country has seen", with more powers being handed to mayors and local leaders, saying: "It is time for Whitehall to accept that growth cannot be ordered from the top down. Instead, it can only be nurtured from the bottom up."
Leadership Race and Timeline
No rivals have put themselves forward to take on Burnham in a leadership race for PM, meaning he could become Prime Minister in the middle of July. The Treasury's decision to defer full funding details has added uncertainty to the transition.
