PM announces £563m Typhoon contract for Rolls-Royce as part of defence spending boost

The Prime Minister has announced a £563m contract for Rolls-Royce for the maintenance of Britain's fleet of Typhoon fighter jets, as he spoke at a defence conference in London.

Speaking at the London Defence Conference, Sir Keir Starmer said the rise in defence spending – the increase to 2.5% of GDP from 2027, made public earlier this year – intended to counter an increased threat from Russia, would benefit businesses and families across the UK and help create jobs.

"Our task now is to seize the defence dividend, felt directly in the pockets of working people, rebuilding our industrial base, creating the jobs of the future," said Sir Keir.

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The PM also said there would be a "major overhaul" of the Armed Forces in the upcoming strategic defence review.

"This isn't just about increasing our defence spending, it's also about reform and rebuilding," he said.

"And in the coming weeks, we'll publish a first-of-its-kind, root and branch, strategic defence review.

"It will scrutinise every aspect of defence, to determine how we can best meet the threats of today and return Britain to war-fighting readiness."

On the 80th anniversary of VE day, the Prime Minister also spoke of the ongoing war in Ukraine, saying it was now "the frontline for Western values".

"This isn't just a fight for freedom and democracy in Ukraine," he said.

"No, it's a new, more dangerous era of history, a period of global instability that fuels insecurity for working people here at home."

He added: "The British people have already paid a price for Putin's aggression in Ukraine with rising bills and prices.

"Russia already menaces our security. They've launched cyber attacks on our NHS, spread disinformation online, and we cannot forget, just a few years ago, a chemical weapons attack on our streets in Salisbury in broad daylight in the heart of England."

Sir Keir also said the new commitment to increased UK defence spending echoed the promises made at the end of the Second World War.