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As it happened: Stocks mixed as Trump warns takes ‘two to tango’ on Iran peace As it happened: Stocks mixed as Trump warns takes ‘two to tango’ on Iran peace Replace Reeves if Starmer goes, voters tell Labour Right to Buy has been a huge success, of course the left hates it Regional bond revolution risks making Britain more unequal and less prudent Labour may not agree with Blair, but the public does… The world can’t keep consuming more than it produces If performance matters more than privilege then prove it Wayve: London robotaxis will make passengers forget there’s no driver Mandelson Files add insult to injury, but the patient was already beyond saving Como 1907: How to make it on the lake with tourist fans and fashion Blackstone Raises its Largest Asia Private Equity Fund at $13.1 Billion Pension master trusts join forces to tackle outdated transfer systems Iran ‘pulls out of talks with US’ and threatens to strike Israel Anthropic files for IPO as race with OpenAI heats up ‘Be more Trumpian’ – Mandelson discussed dire economy and ‘lack of verve’ with key Starmer ally Deloitte UK appoints first chief AI officer in drive for ‘AI-enabled’ services Private credit is crowded — but disciplined capital still knows where to look Squash players turn to social media to cash in on LA Olympic Games opportunities Interactive Brokers Integrates AI into Client Portfolios – Informed by Agentic Technology, Controlled by the Client WWEX Group and Auctane Complete Merger, Creating Leading Logistics Provider ShipStation Global Sadiq Khan: London tech boom can weather ‘dizzying’ AI risks New mixed gender trophy introduced for coming Hundred season Labour voters lead AI adoption as public remains split on impact North Highland Names Anthony Shaw Global Chief Executive Officer Vyond Appoints SaaS Industry Veteran Scott Ernst as Chief Executive Officer Winston Taylor Completes Historic Transatlantic Combination M&S chief’s pay slashed by £3m after cyberattack turmoil Inside Celonis, the German tech unicorn that won over a fifth of the FTSE 100 Stop and think before asking for a bigger salary Brits back Blair’s growth calls – yet are squeamish over welfare cuts Number of claims management firms halves after FCA clampdown Richard Desmond hit with £40m bill over ‘fanciful’ lottery feud Pub bosses warn tax hikes driving youth unemployment crisis UK manufacturing survives Iran war impact Labour sheds union member support to Reform, poll shows Private equity-backed Ryan triumphs in bidding for European tax adviser Svalner Atlas Wise shares plummet as money transfer firm faces fraud investigation KBRA Releases Research – European Fibre ABS: From Build-out to Securitisation Everbridge Expands Presence in Germany with New Munich Office Iran war triggers slump in selfies, ME Group warns Landlords rush to protect income over Renters’ Rights Act fears Ascensia Diabetes Care Expands CONTOUR® Portfolio with CONTOUR®COMFORT Pen Needles to Bring Greater Stability and Control to the Everyday Injection Experience Corient Completes Acquisitions of Stonehage Fleming and Stanhope Capital Group; Global Assets Surpass US$500 Billion Autobrains and Uber to Launch Agentic AI Robotaxi Program in Munich built on NVIDIA DRIVE Hyperion Easyjet fires back at ‘highly opportunistic timing’ as Castlelake weighs takeover bid House prices fall again as property market ‘deteriorates’ Exclusive: Roland Garros star and ATP chief in £450,000 tennis fund raise Milburn NEET review: Anger crackles from the page but will Labour act? 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NATO military chief presses UK to accelerate defence pledges
Rosie Harris-Davison · 2026-05-31 · via City AM

Keir Starmer discussing UKs defense strategy with BAE Systems executives in a formal meeting setting
Nato military chief said the UK is falling short on defence promises (Image: PA)

Nato’s military chief has urged Britain and other allies to speed up the delivery of their defence pledges. 

Admiral Giuseppe Cavo Dragone, Nato’s military committee chair, said he is “frustrated” by the UK and its allies’ commitments to spend on defence which he said do not stand if there is no equipment to show for it. 

Dragone added that he is “unsatisfied” with the empty defence promises. 

Prime minister Keir Starmer is believed to be weighing tax hikes to fund the long-delayed Defence Investment Plan (DIP), which is estimated to be providing between £15bn and £18bn of funding. 

Starmer’s proposals will be outlined in the DIP to meet his pledge to spend 3.5 per cent of GDP on core defence by 2035, a promise made at the Hague last year after pressure from President Trump to increase contributions to Nato’s collective defence.

The DIP will outline how Starmer plans to meet his 3.5 per cent GDP defence spending target he pledged to hit by 2035. He promised the boost at the Hague last year after President Trump pressured allies to increase their Nato defence contributions.

Defence secretary John Healey last month said defence investment is Starmer’s “highest priority” as officials await the DIP.

Speaking at the Shangri-La defence summit in Singapore where international officials and military chiefs met to discuss issues, Dragone told The Sunday Times that the UK and other members of the alliance need to “speed up” defence mechanisms. 

“With percentages, with numbers, or even with dollars or euros, you don’t deter anybody. You deter someone with capabilities, which is the real delivery of hardware,” Dragone said. 

He added that nato needs “to get capabilities faster and faster, because time is against us”, and that in procurement, “we are late.”

Margus Tsahkna, the Estonian foreign minister, also speaking to the Sunday Times, agreed with Dragone’s concerns.

“The UK needs to, of course, increase defence spending. I think that unfortunately it won’t be the last drone we will see in Nato territory,” Tsahkna said.

UK US military relationship ‘meaningless’

This follows US defence secretary of war Peter Hegseth on Saturday at the same summit claiming that European allies are “freeloading” off America and said the country’s relationship with the UK is “meaningless” unless it matches it’s military capabilities.

“You can’t just say, ‘Oh, we’ve been friends for a long time, so let’s work together,’” Hegseth said.

“It’s: ‘We’ve been friends for a long time, so you better have the same capabilities we do, because if we don’t, our alliance is meaningless,'” he added.