John Healey is poised to revive Britain’s bid to join an international banking scheme in order to boost defence spending, after his predecessor Rachel Reeves refused to back it.
The new Chancellor quit as defence secretary last month over the failure of Reeves and the Treasury to find enough money to pay for re-armament – a move widely thought to have been the final straw that forced Sir Keir Starmer’s resignation.
But The i Paper has learned that discussion about joining the Defence, Security and Resilience Bank (DSRB) – a Canadian-led scheme that helps member states finance defence projects at lower cost – took place within Andy Burnham’s transition team before he took office.
Shorts
Now Healey, who was Burnham’s surprise pick for Chancellor, is expected to pick up the baton after he emerged that he had privately pushed for the UK join the DSRB when he was Defence Secretary.
