UK Defense Secretary Wes Streeting Talks Spending, Iran, Russia, Falklands

SPEAKER_1 (0:02)

Bloomberg Audio Studios, podcasts, radio, news.

Guy Johnson (0:07)

Here in the UK, there have been some significant developments over the weekend. The UK police are investigating a potential terrorism incident after five men were arrested near an airbase used in US strikes on Iran. The incident comes as the UK Chancellor John Healy prepares to address the governing Labour Party's annual conference in Liverpool. Caroline Hepker is there, and we welcome those listening on Bloomberg Radio as well. Caroline, let me hand things over to you.

Caroline Hepker (0:33)

Guy Johnson, good morning. Thank you so much. Yes, we are at the Labour Party conference here in Liverpool, as you mentioned, that incident over the weekend at RAF Fairford. We have with us the Secretary of State for Defence, Wes Streeting. And so I want to start on that topic. Good morning, Wes. Thank you for speaking to Bloomberg Radio. Will anything change about the UK's position allowing bases in Britain to support US bombing in Iran after the incident over the weekend?

Wes Streeting (1:02)

So firstly, I'd like to thank our police, counter-terrorism police and security services for their swift action and vigilance in protecting RAF Fairford from those who do us harm. I'm limited in what I can say this morning beyond that, which is already reported, because there is a live police investigation. We don't comment on operational security. So it's too early to say more about the identities or indeed the motivations of this plot. That to one side and to your question about RAF Fairford.

We can be proud that with the United States of America, we have the closest defense and intelligence relationship of any two sovereign countries anywhere in the world. That makes Britain more safe, not less safe. We can be proud of that alliance. And that was reflected in the warmth of President Trump's praise of the British police and security services in his remarks yesterday.

Caroline Hepker (1:56)

But do you think that there will be any change to thinking in the US after this incident, potentially?

Wes Streeting (2:03)

Well, look, I don't want to draw a link between what's happening in Iran and this incident at this stage. It's far too early for me to, or indeed anyone else, to speculate on aims and motives. What I would say is that there is no doubt that the Iranian regime poses a threat to this country, our interests and our allies. And we will stand together with our friends and allies to deter and repel any attempts by Iranian or Iranian-backed agents who would do us harm. And one of the reasons why the Foreign Secretary met with Iran's representatives in New York last week was to send that clear message and also to urge a different course of action. Because I'm afraid that what's going on in Iran with the straight-up Hormuz, with the Houthi, the Iranian-backed Houthi militia in Yemen, it may be over in the Middle East. But we're feeling the consequences of that here at home with the economic consequences. And that's why it's important we work with our allies to try and de-escalate, bring an end to that conflict and to get global trade moving again for the benefit and betterment of all of us.

Caroline Hepker (3:16)

We know that attacks, hybrid attacks on Britain are increasing. Are you confident that the government is going to get defence spending up to 3% of GDP by 2030?

Wes Streeting (3:27)

Well, we've got a NATO commitment of 3.5% by 2035

This government is already delivering the biggest sustained increase in defence spending since the end of the Cold War. And reassuringly, both the Prime Minister and the Chancellor have been clear that there is more to come at the budget and at next year's spending review.

What we're having to do across the NATO alliance is invest now because that is a wiser investment than paying the catastrophic price of failure because we lack the capability to deter or to defend. As of today, we have what we need to keep this country safe. We have what we need across the NATO alliance to keep our allies safe. But we can't afford to stand still given the changing and evolving nature of the threats that we face. In order to prevent war, to prevent conflict, you have to have strong deterrents. That means war fighting capability and that's why Britain and the entire NATO alliance are investing more in our defence.

Caroline Hepker (4:27)

The Chancellor John Healy resigned over the issue of a lack of defence spending. You say there's more in the budget to come on defence. How significant is that going to be without obviously wanting to write the budget now?