Can the UK Afford to Defend Itself Anymore?
At the North Atlantic Treaty Organization summit scheduled for later this month, alliance members are expected to adopt a new defense spending target totaling as much as 5% of each nation's gross domestic product, an historic acknowledgement that a new Cold War has arrived, and that a recalcitrant Donald Trump could one day leave Europe to the mercies of a revanchist Vladimir Putin.
Indeed, NATO's sprint toward re-militarization comes after more than three years of Russian war that's claimed tens of thousands of Ukrainian lives. Unable to rely on America given Trump's expressions of warmth for Putin and coolness to allies, many European governments see shifting to a war-footing as arguably a matter of long-term survival. The short-term question, however, is how to pay for it. On this Bloomberg Originals mini-documentary, we explore this brutal conundrum as it is currently faced by one of NATO's key powers: the UK.
In 2010, the UK had a relatively small military of about 100,000 personnel. In the 15 years since, that number has fallen by tens of thousands. The Labour government is now struggling to make up for decades of underinvestment. Prime Minister Keir Starmer has pledged to spend 2.6% of GDP on defense by 2027, which falls short of the 3.5% goal proposed by NATO Secretary General Mark Rutte and the soon-to-be 5% target. The British military is currently at its smallest size since the Napoleonic era, and reversing course would require sustained investment and major sacrifices. Given the delicate nature of the UK's finances and the bond markets, it may not even be possible.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
42 minutes ago
- Yahoo
UK alt-milk maker Mighty Drinks goes into administration
UK-based alternative milks brand Mighty Drinks has appointed administrators for the business after facing recent "headwinds". The oat and pea milks producer appointed James Clark and Howard Smith from Interpath as joint administrators, a statement from the financial advisory group said yesterday (17 June). Mighty Drinks produces a range of pea protein and oat milk products which are sold across the country in major retailers such as Sainsbury's, Asda and Tesco. In the statement, Tom Swiers, food and drink sector lead at Interpath, said: 'There has been an increasing focus on profitability within all aspects of the 'alt' category, following the investment boom of a few years ago. "It is no longer simply a case of, 'growth as number one priority'". Interpath said Mighty Drinks had seen "headwinds in recent years", such as increasing costs and "fragile consumer confidence", which has affected its ability to scale and reach profitability. While the company's directors intended to look into investment options, "but when it became clear that a solvent outcome was not possible, they took steps to file for the appointment of administrators". Swiers added: 'The Mighty team has created a great product, with an exciting kids-milk range set to launch with retailers given the allergen free benefits of pea-protein, and a path to profitability from improved margins and increased volumes. "Unfortunately, however, this has come at a point in the company's cycle where it required further investment which was not forthcoming from typical investors in this space, nor was it attractive to typical 'special situations' investors given the relatively early stage of the company's development.' Companies House filings for Watkins Drinks Limited, which trades as Mighty Drinks, showed the group had racked up £12.1m in losses in 2023, a roughly £4m deeper loss than it booked the previous year. Managing director at Interpath and joint administrator for Mighty Drinks James Clark said Interpath would look into "the options available" for the company with its stakeholders. Potential avenues being explored include "seeking offers for the business and its assets, including the Mighty brand and related intellectual property", he added. Just Food has contacted Mighty Drinks for comment. Plant-based milk has become an increasingly competitive space in UK grocery retail, and has resulted in some companies pulling brands. In January, Arla Foods announced its intention to remove its Jörd alternative milks brand from UK retailers. The brand had been launched in 2020 and was the company's first move in plant-based milk alternatives. Two years ago, Nestlé also announced it was pulling its Wunda alt-dairy brands from UK and Ireland retail, alongside its meat-free Garden Gourmet range. Despite a slowing momentum for the plant-based milk category in the UK, in Novemeber, Oddlygood, owned by Finnish dairy company Valio, announced it had acquired UK rival Rude Health. At the time, the group said the move intended to bolster its market share in plant-based drinks in the UK. "UK alt-milk maker Mighty Drinks goes into administration" was originally created and published by Just Food, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
an hour ago
- Yahoo
Bruce Springsteen Calls Out Exactly How ‘Moron' Trump Rose To Power
Bruce Springsteen isn't letting up on his digs at PresidentDonald Trump and the administration he's already ripped as 'incompetent and treasonous.' The Boss, who is in the midst of the European leg of his Land of Hope and Dreams tour with the E Street Band, told The New York Times that he wanted to use his shows' set list to address the 'current situation' in the United States. 'It's an American tragedy,' said the rocker in a feature published on Wednesday. He went on, 'I think that it was the combination of the deindustrialization of the country and then the incredible increase in wealth disparity that left so many people behind. It was ripe for a demagogue.' 'And while I can't believe it was this moron that came along, he fit the bill for some people. But what we've been living through in the last 70 days is things that we all said, 'This can't happen here.' 'This will never happen in America.' And here we are.' Springsteen's criticism led to Trump raging on his Truth Social platform last month, calling the Boss 'dumb as a rock' and a 'dried out 'prune' of a rocker.' Trump also claimed without evidence that former Vice President Kamala Harrispaid Springsteen and other stars to endorse her presidential campaign and shared a wacky, edited clip of himself hitting a golf ball that cuts to a video of a 'ball' hitting Springsteen. Springsteen — who has been defended by Neil Young, Eddie Vedderand Bono amid the Trump feud — told the Times that he still has hope despite the state of the country. 'Because we have a long democratic history. We don't have an autocratic history as a nation,' he said. 'It's fundamentally democratic, and I believe that at some point that's going to rear its head and things will swing back. Let's knock on wood.' Last month, the rocker included recordings of two of his viral speeches against Trump on his 'Land of Hope & Dreams' live EP, which also includes a cover of Bob Dylan's 'Chimes of Freedom.' The Boss reportedly hadn't played the track — which expresses solidarity with marginalized people — live since 1988 before performing itseveraltimes on his tour this year. Obama Says U.S. Moving 'Dangerously Close' To Autocracy Under Trump Former Trump Aide Steve Bannon Says Fox News Is Pushing 'Pure Propaganda' On Iran 'Nobody Knows': Trump Won't Say Whether He Will Move Forward With U.S. Strikes On Iran
USA Today
an hour ago
- USA Today
Trump signs executive order delaying ban on TikTok
Trump signs executive order delaying ban on TikTok - again The 90-day extension marks the third time that Trump has delayed a TikTok sell-or-ban law from going into effect after it it was passed by Congress. Show Caption Hide Caption Tiktok stays as President Donald Trump extends deadline for ban President Donald Trump signed an executive order extending the deadline to ban Tiktok. WASHINGTON − President Donald Trump has again extended the deadline for a TikTok ban to go into effect, allowing the Chinese-owned social platform to continue operating for the 90 days. Trump said earlier in the week that he planned to give TikTok a third extension and signed an executive order on June 19 making it official. It was the third time that Trump authorized a delay. TikTok and Tariffs: Trump postpones TikTok deadline as talks continue to sell social media giant The popular social media app's parent company, ByteDance, now has until Sept. 17 to secure a deal that satisfies a legal requirement. Lawmakers ordered TikTok to divest from its Chinese ownership or face a ban in the United States over national security concerns. Former President Joe Biden signed the bipartisan legislation into law. And the Supreme Court held the ban. But since returning to office, Trump has directed the Department of Justice not to enforce it. His executive orders have kept the app from going dark. White House press secretary Karoline Leavitt said the administration's lawyers "strongly believe" the president has the legal authority to delay enforcement. "The political reasoning for this, of course, is because the president made a promise to keep TikTok on," she said. "He also wants to protect American's data and privacy concerns on this app, and he believes we can do both things at the same time. So he's making an extension so we can get this deal done." Trump ordered Vice President JD Vance and his then-national security adviser, Mike Waltz, to help facilitate a deal that would prevent user data from being accessed by the Chinese government. U.S. officials said they were on the verge of reaching an agreement in April but hit stumbling blocks when Trump ratcheted up tariffs on China. Is TikTok getting banned? Trump says he'll 'probably' extend deadline again Trade relations between the two nations have improved since then but a TikTok deal remains on ice. It was not clear if TikTok came up when Chinese President Xi Jinping and Trump spoke by phone for the first time on June 5. "We probably have to get China approval. I think we'll get it," Trump told reporters on June 17. "I think President Xi will ultimately approve it." TikTok has 135 million users in the United States, most of them young Americans, who Trump has said he does not believe are at risk from being spied on. "If China is going to get information about young kids, I don't know. To be honest with you, I think we have bigger problems than that," he told reporters. China denies that it interferes in the affairs of private businesses. Its embassy spokesman in Washington said in a June 19 statement that Trump has not changed its position on the United States ban. In response to a request, Liu Pengyu reiterated that the nation would "handle relevant matters in accordance with Chinese laws and regulations" and said the United States "should provide an open, fair, just, and non-discriminatory business environment." Contributing: Joey Garrison
