The UK arrives at the NATO Summit – but can its next Prime Minister deliver?

As the UK arrives at this week's NATO Summit, it finally does so with something allies, investors and industry have been waiting months to see: a Defence Investment Plan. Published just the week before leaders gather in Ankara, the long-delayed document set out nearly £300bn of investment over the next four years, focused on warfighting readiness, AI, autonomous systems and strengthening Britain's defence industrial base.

Share

For the defence sector, the plan’s publication brought a degree of clarity – albeit not without hard questions. For politics, however, the story is even starker.

The arguments surrounding the DIP became about far more than procurement programmes or capability decisions. They exposed deeper tensions over spending, growth, fiscal credibility and Britain’s place in an increasingly dangerous world. By the time the plan appeared, the political fallout from getting there had become almost as significant as the plan itself. The Prime Minister ultimately lost much more than his Defence Secretary.

Following last year’s Hague Agreement, NATO allies are now expected to work towards spending 5% of GDP on defence and security-related activity by 2035, with 3.5% devoted to core defence and a further 1.5% to resilience, infrastructure, cyber security and wider national preparedness.

The implication is clear: defence can no longer be treated as a standalone policy area. National security is increasingly intertwined with industrial strategy, energy resilience, advanced manufacturing, technology, skills and economic growth. In the UK, the Ministry of Defence remains central, but so too does HM Treasury, and a myriad of other Whitehall departments. Increasingly, regional leaders, universities and investors all have a stake in the conversation.

Following the local elections, the UK is now operating in a genuinely multi-party environment. The challenge for organisations across defence and security is no longer simply convincing policymakers, it is communicating with a broader coalition of stakeholders, each bringing different priorities and assumptions.

For some audiences, the argument is deterrence. For others, it is sovereign capability and economic growth – and beyond that, resilience, innovation and critical national infrastructure. The organisations best positioned for the decade ahead will be the thought leaders who understand all of these areas.

The publication of the DIP answered a spending question that dominated the sector for months. The NATO Summit poses a more difficult one. The UK has its plan, which a new Prime Minister will inherit. But whether he then has the political consensus required to deliver it is another matter entirely.

Photo by Marek Studzinski on Unsplash

If you want to shape the conversation and land your message with policymakers, politicians and the media – get in touch at enquiries@luther.co.uk