Meeting the pressures of an ageing population on the NHS while ramping up defence expenditure would be an ‘epochal challenge’, top economist warns
Sir Keir Starmer has been warned that his plan to send a peacekeeping force to Ukraine could force Labour into breaking manifesto commitments on taxes and spending. Top military figures and economists have highlighted the significant financial implications, stating that increasing defense spending would require tax rises, spending cuts, or both. The manifesto承诺不通过 borrowing to fund day-to-day spending and ruled out increases in key taxes, limiting Labour's ability to raise funds. Experts, including Ben Zaranko, Lord West, and Ben Wallace, argue that significant increases in defense spending are necessary to support Ukraine and maintain NATO's strength. The government is preparing a strategic review, with defense chiefs advocating for spending increases to 2.65% of GDP. The debate highlights tensions between the PM and Chancellor Rachel Reeves over funding, with the possibility of tax rises being considered.
