Starmer faces criticism over £300bn defence plan with £4.7bn funding gap as Burnham succession looms

Jun 30, 2026

Prime Minister Keir Starmer faces intense criticism over his £300 billion Defence Investment Plan, which includes a £15 billion spending boost but leaves a £4.7 billion funding gap for the autumn Budget. At a heated PMQs, Starmer clashed with Tory leader Kemi Badenoch, who accused him of leaving a "mess" for his expected successor, Andy Burnham. While Starmer defended the plan by attacking the Conservatives' defence record, reports reveal Burnham was only briefed on the multi-billion pound shortfall on the day of its publication.

Defence investment plan funding gap

▪The Department for Transport is contributing £700 million in savings toward the defence plan, putting the A38 Derby Junctions and A46 Newark Bypass schemes under consideration for cancellation.
▪The UK Treasury identified £10.3 billion in savings from other departments, including transport and energy, to fund the Defence Investment Plan.
▪The UK's Defence Investment Plan outlines £15 billion in additional defence spending over the next four years, bringing total spending to nearly £300 billion.
▪The Department for Energy Security and Net Zero is finding £2 billion in efficiency savings to help fund the Defence Investment Plan.
▪The Defence Investment Plan leaves a £4.7 billion funding gap that must be resolved in the upcoming autumn Budget.

Starmer's combative PMQs performance

▪Keir Starmer rejected a Liberal Democrat proposal for defence bonds, characterizing them as borrowing by another name.
▪Prime Minister Keir Starmer clashed combatively with Conservative leader Kemi Badenoch at Prime Minister's Questions over the £4.7 billion defence funding gap.

Burnham succession speculation

▪Andy Burnham, who is widely expected to succeed Keir Starmer as Prime Minister by late July 2026, was reportedly informed of the £4.7 billion defence funding gap only on the day of the plan's publication.
▪Defence Minister Dan Jarvis expressed confidence that Andy Burnham will secure the necessary investment for UK defence despite the £4.7 billion funding gap.

Conservative defence record criticism

▪Keir Starmer accused the Conservative Party of hollowing out the UK armed forces and cutting defence spending during their 14 years in government.
▪Kemi Badenoch criticized the Labour government for spending on welfare and failing to secure the full £28 billion demanded by military chiefs.

Farage financial arrangements

▪Reform UK MP Lee Anderson declined to engage with Keir Starmer's criticisms regarding Nigel Farage's financial conflicts of interest.
▪Keir Starmer launched a verbal attack during Prime Minister's Questions against Reform UK, calling for an investigation into Nigel Farage's financial arrangements, including cryptocurrency and gold deals.