AUKUS Shaken: UK Defence Secretary Healey Resigns Over Spending
The AUKUS partnership faces uncertainty following the resignation of British Defence Secretary John Healey, who stepped down overnight citing inadequate defence funding from the Starmer government. The departure comes during a critical juncture in Australia-UK ministerial discussions and raises pressing questions about Britain's long-term commitment to the trilateral security pact.
Resignation Amid Bilateral Talks
Mr Healey, who previously described AUKUS as his personal priority, submitted his resignation overnight, accusing Prime Minister Keir Starmer and the Treasury of failing to allocate sufficient resources to protect the United Kingdom amid escalating global threats. The resignation occurred just as Mr Healey was scheduled to join Deputy Prime Minister Richard Marles at Portsmouth Naval Base on Thursday to assess defence capabilities.
Mr Marles issued a statement acknowledging the close working relationship he shared with Mr Healey, describing him as a good friend and praising their collaborative efforts on the Australia-UK defence relationship, particularly regarding AUKUS.
Our defence relationship is enduring, with deep connections, values and shared interests. Acknowledging that ultimately this has been a decision for John, I wish him all the best for the future.
Defence Investment Plan at Centre of Dispute
The resignation centres on the long-delayed Defence Investment Plan, which Mr Starmer has yet to publish despite a self-imposed deadline of this Friday. Britain has been finalising the procurement strategy amid internal debates over funding priorities following two years of tax increases.
In his resignation letter, posted on his X account, Mr Healey wrote that he was given full sight of the DIP on Monday and found it would only raise defence spending to 2.68 per cent of economic output by 2030, well below the government's stated ambitions. A source close to the former secretary confirmed that the Treasury offer did not include a firm date for reaching the three per cent threshold.
You have been unable, and the Treasury has been unwilling, to commit the resources that the nation needs to defend the country at this time of rising threats.
Mr Starmer responded by insisting his spending plans would enable the armed forces to transform and modernise, adding that he would always do what is needed to keep the country safe. The Prime Minister has vowed to raise defence spending to 2.5 per cent of GDP from next year, increasing to three per cent if Labour wins the next election expected in 2029, and reaching 3.5 per cent by 2035.
Broadening Political Fallout in London
The resignation has triggered wider political consequences. Armed forces minister Al Carns and Mr Healey's aide Pamela Nash also resigned hours later. Former army officer Dan Jarvis has been named as Mr Healey's replacement, moving from a junior ministerial role at the Home Office.
Labour MP Tan Dhesi, chair of parliament's defence committee, described the resignation as a grave moment and urged the government to treat Mr Healey's warnings with the utmost seriousness.
Professor Patrick Diamond of Queen Mary University of London told AFP the resignation underlines that Starmer has become a lame duck prime minister who cannot get decisions through his own government.
Implications for AUKUS and Indo-Pacific Security
For Australia, the timing of Mr Healey's departure is particularly delicate. AUKUS, the security partnership between Australia, the United Kingdom and the United States, requires sustained political will and substantial financial commitment from all three partners. British political instability and questions over defence resourcing inevitably raise concerns about the reliability of the UK as a partner in the Indo-Pacific.
Ed Arnold, senior associate fellow at the Royal United Services Institute, noted that the resignation creates a sequence of political headaches, beginning with appointing a new minister and then attempting to publish the investment plan. The DIP, originally due in late 2025, has been repeatedly delayed, frustrating both industry and allied partners.
US President Donald Trump has repeatedly pressed NATO allies to increase defence spending and reduce reliance on Washington for security. Mr Starmer's centre-left government, elected in July 2024 after 14 years of Conservative rule, has pledged to raise spending and prioritise NATO as the threat from Russia grows.
Leadership Pressures Mount
Mr Starmer faces mounting political pressure ahead of next Thursday's by-election, where Greater Manchester mayor Andy Burnham stands for the Makerfield parliamentary seat. Both men have indicated they would participate in any Labour leadership contest, though none has yet been triggered. Wes Streeting resigned as health secretary last month following poor local and regional election results and has also signalled his intention to run.
Mr Healey has been mentioned as another potential leadership contender, though there was no immediate indication his resignation was linked to leadership speculation. The Prime Minister has insisted he will publish the defence plan before a NATO summit in Turkey on July 7.