NATO Secretary General Mark Rutte has welcomed the Budget's defence plans, including the new 2030 target date for spending 3% of GDP on defence. The Conservatives say the Budget cuts defence spending by £1bn.
Rutte wrote on X, Reuters reports:
"Good news on the new budget from MP John Healey with a strong commitment on defence"
Defence Secretary Wes Streeting and Lord Robertson also welcomed it, according to PA.
Shadow defence secretary James Cartlidge accused the Chancellor of "penny-pinching our military". He cited £1bn less defence spending over the coming two years. PA reports that the Budget document puts the difference down to smaller-than-expected pension spending. On that account the £1bn reflects lower pension costs, not a decision to spend less on the armed forces, so Cartlidge's description of it as a cut is misleading.
City AM reports that the Budget sets up an Innovative Defence Financing Taskforce and ring-fences about £5bn for investing in UK defence funds and companies. It also reports treaty talks with Finland, Poland and the Netherlands.