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    Home » UK Defence Firms Urge Quick Deal with EU to Join €150 Billion Fund
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    UK Defence Firms Urge Quick Deal with EU to Join €150 Billion Fund

    Jerry JacksonBy Jerry JacksonApril 13, 2025No Comments4 Mins Read
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    UK Defence Firms Urge Quick Deal with EU to Join €150 Billion Fund
    UK Defence Firms Urge Quick Deal with EU to Join €150 Billion Fund
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    As the UK-EU summit nears on May 19 in London, defence, aerospace, and tech leaders in Britain are asking for a fast agreement with the European Union. Their main goal is to get access to a new €150 billion EU defence fund. The fund will help make Europe safer. This push shows a strong need for teamwork as global threats grow.

    UK Groups Ask Leaders to Act

    Three major UK trade groups wrote to top EU and UK leaders. They are ADS (a group for aerospace and defence), TechUK, and the British Chambers of Commerce. They want the defence deal to be treated as its own issue, not tied to Brexit problems.

    In their letter to Prime Minister Keir Starmer, European Commission President Ursula von der Leyen, and Council President Antonio Costa, they said a separate deal would help joint projects. It would also let UK firms work on EU defence plans and make Europe’s defence stronger.

    What Is the EU Defence Fund?

    The EU’s “Readiness 2030” plan will spend €800 billion on defence. €150 billion of that will be in market loans. But EU rules say these loans mostly go to EU-based companies or nations that have defence deals with the EU.

    Right now, the UK is not in that group. So, UK firms can only join one-third of any EU-funded defence work. Countries like Norway and Iceland can join fully because they already have deals. UK firms want the same rights.

    France Wants a Bigger Brexit Deal

    France is not ready to agree yet. The UK wants a simple defence deal, but France and others want to tie it into larger Brexit talks. These talks cover fishing, food rules, youth travel, and rights of people living abroad.

    Fishing is a big topic. The current fishing deal ends in June 2026. So, time is short. Mixing the defence plan with these topics makes things harder.

    Industry Leaders Are Worried

    Peter Bell from the British Chamber of Commerce in the EU said, “The UK and EU must agree fast on a defence plan with strong links.”

    Kevin Craven of ADS said delays could hurt Europe’s ability to act on threats. “We have the tools and will to help, but time is short,” he said.

    They both agree: the UK adds strength in tech and industry. Leaving it out could weaken the EU’s defence work.

    UK Ready to Talk

    The UK government said defence will be a key topic at the summit. A Cabinet Office spokesperson said the UK is open to deeper EU work. “Britain plays a key role in European defence,” the official said.

    The UK also wants a joint rearmament fund with EU nations. This would lower costs by buying together. Poland has a similar idea. Its plan would include the UK, Norway, and Switzerland. EU finance ministers will talk about both plans soon.

    EU Still Needs to Say Yes

    Thomas Regnier from the EU Commission said talks can only start once all EU members agree. Some legal steps must be done first.

    In the meantime, ideas like Poland’s plan show there is a will to work together. If approved, these efforts could let more countries join EU defence work.

    Past Work Shows What’s Possible

    The UK has already worked with EU nations on defence. Examples include the Eurofighter jet and the A400M transport plane. These projects show how teamwork can work.

    Without a new deal, UK firms may be left out of new tech and defence growth. This would be a loss for both sides.

    A Clear Chance to Act

    With the summit close, leaders must act soon. The UK wants to help and can bring real value. Delaying the deal could hurt all of Europe. Getting a fast, fair defence deal now is key for peace and safety.

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    Jerry Jackson
    Jerry Jackson
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    Jerry Jackson is an experienced news reporter and editor at EuroNews24, specializing in a wide range of topics, from current events to in-depth analysis. Known for his thorough research and clear reporting, Jerry ensures that the content is both accurate and engaging for readers.

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