Labour leader Sir Keir Starmer has defended Chancellor Rachel Reeves and the Treasury after Defence Secretary John Healey’s sudden resignation over funding disagreements, as the government unveiled its Defence Investment Plan on 2 June. Healey quit the frontbench in the afternoon, publicly accusing the Treasury of failing to provide sufficient resources amid rising security threats to the UK.
Healey’s Damning Resignation
The Labour MP for Rawmarsh and Conisbrough, who had served as Defence Secretary since July 2024, resigned in a letter sharply criticising the Treasury. Healey highlighted cross-government work confirming the extensive challenges facing defence, yet condemned the Treasury for not committing adequate funds to safeguard the nation.
Starmer Stands Firm
Responding on Tuesday evening, Starmer insisted the defence funding increases would be “sustainable and fair,” stressing necessary budget reallocations across government departments. He expressed regret at Healey’s departure but emphasised strong public finances as key to national security, warning against “irresponsible borrowing.”
Treasury Pushes Back
A Treasury spokesperson told GB News the Chancellor “will always do what is right and needed to keep this country safe,” referencing record defence spending uplifts and recent multi-billion commitments towards the Defence Investment Plan alongside the Prime Minister.
Growing Turmoil In Labour
Healey’s resignation is a major setback for Starmer amid a wider party crisis, following Health Secretary Wes Streeting’s recent departure and growing dissent among Labour MPs calling for the Prime Minister’s resignation. The spat puts further pressure on Chancellor Reeves, who has faced criticism over welfare policy reversals that strained public finances.
Defence Plan Controversy
The dispute centres on the Strategic Defence Review, unveiled on 2 June, promising the largest UK defence budget increase since the Cold War, including up to 12 new attack submarines and £15 billion for nuclear warheads. Although hailed as a “new era” for UK defence by Healey, his resignation signals concerns that the final funding does not meet the review’s identified needs.
