Sir Keir Starmer has announced a major boost to defence spending as he cut foreign aid.

The Prime Minister said the Government would hit its target of 2.5% of national income on defence spending by 2027.

But he said the UK’s overseas aid budget would be reduced from 0.5% of gross national income to 0.3% in 2027 to fund the policy.

Speaking in the Commons, he said: “I can announce this Government will begin the biggest sustained increase in defence spending since the end of the Cold War.”

It comes ahead of the PM’s visit to Washington where he will meet US President Donald Trump on Thursday.

Mr Trump has been demanding that Europe spends more on defence.

Tory leader Kemi Badenoch earlier urged Sir Keir to redirect foreign aid and welfare funding towards defence spending.

In a major speech, she said: “I will back the Prime Minister in taking those difficult decisions to increase defence spending.

“For example, he should consider whether some of the 0.5% currently spent on development aid should be repurposed, at least in the short term, towards defence and security.

“And he should also look at making welfare savings to fund increased defence expenditure.”