Tue Feb 25 15:18:43 UTC 2025: ## UK to Hike Defence Spending to 2.5% of GDP by 2027, Cutting Aid Budget

**London/Washington D.C.** – British Prime Minister Keir Starmer announced a significant increase in UK defence spending, raising it to 2.5% of GDP by 2027. This move, announced ahead of his trip to Washington D.C. to meet with US President Donald Trump, aims to bolster European security and demonstrate support for the US-led efforts in Ukraine.

The increase represents an additional £13.4 billion (approximately $17 billion USD) in annual defence spending from 2027 onwards. Currently, the UK spends £53.9 billion ($68.3 billion USD) annually on defence. This substantial investment is being funded, however, by a 40% cut to the UK’s international aid budget, reducing it from 0.5% to 0.3% of GDP by 2027.

Starmer justified the aid cut as necessary to support Ukraine and Europe in the current geopolitical climate, acknowledging the unpopularity of the decision. This marks the second significant reduction in the UK’s aid budget since 2020, when it was cut from 0.7% to 0.5% of GDP due to the COVID-19 pandemic.

The Prime Minister’s announcement comes as he seeks to reassure President Trump of the UK’s commitment to strengthening NATO and providing security guarantees to Ukraine, echoing similar assurances made by French President Emmanuel Macron earlier this week. Trump has repeatedly urged European allies to increase their defence spending, suggesting a 5% GDP target. Concerns remain in Europe regarding Trump’s pursuit of direct US-Russia negotiations to resolve the conflict in Ukraine, without the involvement of Ukrainian or European leaders. Trump expressed confidence in the progress made towards ending the war during his meetings with both Macron and, subsequently, Starmer. He emphasized that Europe should bear a greater share of the responsibility for securing peace in Ukraine.

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