Kemi Badenoch, a UK minister, has accused opposition leader Andy Burnham of postponing crucial decisions on defense spending. Badenoch stated that the Conservative party has finalized its plans to meet its defense spending targets, including the reimposition of a two-child benefit cap.
Badenoch reiterated that the Conservative party's plan to increase defense spending to 3% of GDP includes reforms to housing benefits and the removal of VAT exemptions for Motability vehicles. "Alongside savings from the disastrous Chagos deal and re-purposing money from the British Business Bank into defence, we will be able to hit that 3% target," Badenoch said. The plan also involves saving approximately £4 billion through housing benefit reforms and £1 billion by removing the VAT exemption for Motability vehicles.
The two-child benefit cap, previously scrapped by the Labour party in April, limits universal credit or tax credit claims for families to their first two children. Badenoch defended the policy, stating that it would not increase child poverty and that economic growth and employment are key to reducing it. "It is not going to increase child poverty. What increases child poverty is children's parents not having work or being paid low wages. We want to grow our economy," she told the BBC.
Burnham's government has committed to reaching a higher defense spending target of 3.5% of GDP by 2035, a goal he plans to outline in the spring. However, he has not committed to the 3% target by 2030, a point of contention raised by Badenoch. A member of Burnham's party, MP Tan Dhesi, also urged the prime minister during Prime Minister's Questions to set a clear path toward spending 3% of GDP on defense by 2030, noting that "Defence is definitely one area where vibes alone just isn't going to be enough."