Wes Streeting, the new defence secretary, has said increased defence spending will make "an enormous contribution" to UK economic growth, signalling that the military will be prioritised over other government departments under Andy Burnham's leadership. Speaking at the Farnborough airshow, Streeting made no new financial commitments but pledged to give the arms industry "clarity and confidence", seeking to draw a line under the disputes over defence funding that contributed to Keir Starmer's downfall. He also warned that higher defence spending would carry an "opportunity cost across government", meaning the Ministry of Defence must demonstrate it is using existing resources wisely.

Burnham has recommitted the UK to raising defence spending from 2.6% to the Nato target of 3.5% of GDP by 2035, a real-terms increase of more than £25bn within a decade, a level not seen since the early 1990s. The appointment of John Healey, who quit as defence secretary last month over a row about the pace of increases, as chancellor has fuelled speculation that Labour could go further and faster, potentially reopening spending reviews to find an extra £9bn a year by 2030. Streeting declined to say whether the government would meet a 3% target by 2030, deferring to Healey on budget specifics, while also criticising Israel's conduct in Gaza and the West Bank during his Farnborough appearance.