Labour silent on when it will hit defence spending target to avoid spooking the markets and sending borrowing costs spiralling, admits Streeting

See more Daily Mail on Google - save us as a Preferred Source Published: 12:29 EDT, 27 September 2026 | Updated: 12:29 EDT, 27 September 2026 Labour is deliberately refusing to say when defence spending will hit a target of 3 per cent of GDP to avoid spooking the markets, Wes Streeting admitted today.The Defence Secretary said that setting an arbitrary date without showing how it was to be achieved would increase the cost of borrowing when it is already high. The UK has promised to commit 3.5 per cent of national income on defence by 2035, in line with a pledge by Nato members. The Government has budgeted to hike defence spending to 2.7 per cent by 2027-28, but Andy Burnham and his ministers have refused to say if another target of 3 per cent by 2030 will be hit.Government borrowing costs have soared in recent weeks, with the yield on UK gilts hitting the highest levels since the 2007 financial crisis, and the head of the International Monetary Fund said the UK must cut borrowing and reduce debt levels.Speaking at a Fabian Society event at the Labour Party Conference today, Mr Streeting said: 'I understand the temptation to say ''why won't you set out 3 per cent by a date now?'''Well John Healey has another set of responsibilities alongside his duty to national security, which is his duty to balance the books and manage the public finances responsibly. The Defence Secretary said that setting an arbitrary date without showing how it was to be achieved would increase the cost of borrowing when it is already high He told a Labour conference event: 'John Healey has another set of responsibilities alongside his duty to national security, which is his duty to balance the books and manage the public finances responsibly''If tomorrow he were to set out a specific date and deadline without showing how we would pay for it, the only consequence would be that the cost of borrowing goes up.'When you have a public debt liability that we have in this country you just set yourself back.'He said that the public would have to wait for the Budget and the next spending review to find out more. There is a growing public clamour from former military leaders and opposition politicians for the government to show how and when it will increase spending on the UK's Armed Forces.Earlier this month Mr Burnham rejected calls to divert money from benefits, saying national security 'can't come at the expense of social security'.Mr Streeting also appeared to rule out a future Labour leadership bid in the near future, saying 'that ship has sailed.'The former leadership contender said 'I have zero regrets' over resigning from Sir Keir Starmer's Cabinet.'It's not how I wanted Keir's premiership to end,' he said, but added: 'But I think it was necessary, and I do feel a sense of vindication in terms of how things have unfolded since.'I am, for the first time since I was probably about 15 years old, not running to be leader of the Labour Party, and it's quite a liberating position to be in.'Asked if that was just the case 'for now,' he said: 'No, that ship has sailed.'He rejected that he had done any kind of deal with Mr Burnham to get his defence post.'I didn't ask for a job. I didn't lobby for a particular job, and I certainly didn't do a deal for a job with Andy,' he said.