Prime Minister Keir Starmer has announced a major defence investment plan, increasing annual defence funding from £54 billion in 2024 to nearly £80 billion by 2029. The plan includes £5 billion for equipping the UK with drones, used extensively in the Russia-Ukraine war, and £790 million for developing protections against drones and missiles.
Funding Sources and Impact on Green Projects
Starmer stated that the funding would come from reallocating capital budgets across government departments, including cancelling or delaying some road and energy projects. This directly affects Energy Secretary Ed Miliband's ambitions for green energy expansion, such as wind and solar power.
“The hard truth is there are no easy answers, but the settlement I’m setting out today is the right choice for the country,” Starmer said. “It delivers decisive action on defence within our fiscal rules without taking resources from frontline services like health and education. Instead, it is funded by reallocating capital budgets by one penny in every pound, while maintaining public investment at the highest sustained levels since the 1970s.”
He added: “Some capital projects, for example on roads and energy, which are important but not immediately vital, will no longer go ahead as planned.”
Political Fallout and Personal Rift
The move represents a significant blow to Miliband, who had championed green energy and previously supported Starmer's rise to become an MP. However, their relationship soured when Miliband called for Starmer's resignation and backed Andy Burnham for prime minister. Starmer's decision to cut green projects for defence spending is seen as a political revenge.
Miliband's green agenda, which includes importing gas from Norway rather than domestic drilling, faces a major setback as funding is redirected to weaponry.
