Andy Burnham 'deliberately handed £4.7bn Budget black hole' in surprise 'poison pill' from Keir Starmer

Andy Burnham could be forced to raise taxes or slash spending in his first Budget thanks to a "poison pill" from the Prime Minister.

Sir Keir Starmer's delayed Defence Investment Plan yesterday confirmed that Britain's Armed Forces would receive an additional £15billion per year.

But it soon emerged in a written statement to MPs from Rachel Reeves that only £10.3billion of that extra cash had been found so far - with the rest to be confirmed at "Budget 2026".

Mr Burnham is said to have been briefed on the DIP before it was finally unveiled.

But the Prime Minister-in-waiting was not told he would have to raise more money to fully fund the defence of the nation - and his team are said to think Sir Keir's allies deliberately left out details of that sum when they briefed him, according to The Guardian.

"This is a delayed-action poison pill," a Tory spokesman said. "This is going to be a headache for Burnham and his new Chancellor at the end of the spending period."

One Burnham ally likened the new black hole to an "unexploded bomb" - while a defence insider said it was "madness after all that wrangling to have left a £4.7billion black hole for someone else to fix".

A Treasury source told said it was normal for a Chancellor to make a spending announcement with some of the money still yet to be found at the next fiscal event.

They said Mr Burnham and his Chancellor could borrow more to fund the "unexploded bomb".

But the soon-to-be Prime Minister would face soaring borrowing costs as a result - and risk spooking the markets, which are already bracing for Mr Burnham's reign.

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Chris Philp: Reduction in small boats crossings not sign of genuine progress

Chris Philp Shadow Home Secretary said the small boat crossing is "far from being solved" despite a reduction in those making the journey this year, compared to the last, arguing the smaller number is down to the weather.

Speaking to GB News, he said: "I'm afraid to say the numbers in the first few months of this year were down to the weather in the Channel.

"In the last two or three weeks, when we had good weather, as we've all seen, numbers have been flooding across - about 3,000 illegal migrants have crossed the in the last three weeks."

He added: "So, I'm afraid to say the ruth is this problem is far from being solved."

Robert Jenrick speculates Tories will call for general election at PMQs today

Reform UK's Treasury spokesman Robert Jenrick has speculated the Conservatives will call for a general election at PMQs today.

Writing on X this morning, he wrote: "Kemi Badenoch said there should be an election if Andy Burnham doesn’t fund defence properly.

"Yesterday Burnham’s spokesperson said the matter is now ‘settled’. It clearly isn’t - there’s still a massive hole in the Defence budget.

"Will the Tories call for an election today?"

The long-awaiting Defence Investment Plan was published yesterday, however, it left a £4.7billion blackhole for Prime Minister-in-waiting Andy Burnham to fill once he succeeds.

Keir Starmer's penultimate PMQs today 

Sir Keir Starmer will face his penultimate PMQs this lunchtime before he leaves No10.

The following MPs have been selected to pose questions to the Prime Minister today.

• Dr Al Pinkerton — Liberal Democrat, Surrey Heath
• Rachel Hopkins — Labour, Luton South and South Bedfordshire
• Mark Sewards — Labour, Leeds South West and Morley
• Alex Ballinger — Labour, Halesowen
• Kevin Bonavia — Labour, Stevenage
• Michelle Welsh — Labour, Sherwood Forest
• Catherine West — Labour, Hornsey and Friern Barnet
• Sarah Russell — Labour, Congleton
• Lewis Atkinson — Labour, Sunderland Central
• Luke Taylor — Liberal Democrat, Sutton and Cheam
• Sir Desmond Swayne — Conservative, New Forest West
• Mr Joshua Reynolds — Liberal Democrat, Maidenhead
• Lee Anderson — Reform UK, Ashfield
• Carla Lockhart — DUP, Upper Bann

Labour told to abandon plan to place migrants in £250k homes after GB News reveals new-build ban

Labour must "abandon plans" to place 83 asylum seekers at a new-build development and release an immediate public statement on the Stoke Heath site, local MP Mark Pritchard has told GB News.

Mr Pritchard, who was first elected as the MP for The Wrekin in 2005, put pressure on Shabana Mahmood immediately after the Home Secretary confirmed asylum seekers were banned from new-build accommodation.

Speaking to The People's Channel, Mr Pritchard said: "With so many empty public buildings available, where asylum seekers could be housed, and with so many of my constituents struggling to find suitable rental housing in their own local villages and towns, a ban on migrants being allowed to move into new-builds, would be a late but welcome development.

"The Government now needs to abandon plans to put asylum seekers into Stoke Heath's new build housing."

READ THE FULL STORY ON MARK PRITCHARD'S APPEAL HERE

'Built on FANTASY MATHS!' Read Ed Davey's brutal takedown of Andy Burnham's looming funding gap

Liberal Democrat leader Sir Ed Davey unleashed a blistering attack on the "massive funding gap" yesterday in a brutal takedown of Sir Keir Starmer's legacy.

Sir Ed said: "This is Keir Starmer's legacy: A political choice to undermine our security and safety in the world. A political choice to leave our military heroes in mouldy homes and barracks, and a political choice to put jobs and business investment at risk across the country.

"Andy Burnham must now listen. There is another way. Liberal Democrat plans for defence bonds would raise £20billion of secure, ring-fenced investment to urgently rebuild our military capabilities. The brave men and women who put their lives on the line for our country deserve more than this late, underfunded offer."

He added: "The small print is out, and it looks like Starmer’s Defence Investment Plan is built on fantasy maths - leaving a massive funding gap for Burnham to fix. Liberal Democrat plans for Defence Bonds would deliver the real, secure cash boost our forces need."

Yesterday Sir Keir warned against issuing new "defence bonds" - even though some of his allies have urged to do exactly that.

"Defence bonds are just borrowing by another name," he said. "We've looked at this very carefully, but the fact is doing this through borrowing will push interest rates higher at a time when £1 in every £10 already goes on paying their interest."

Defence Secretary shoots down talk of £4.7billion 'poison pill' - 'Of course we've been talking to Andy Burnham!'

Defence Secretary Dan Jarvis last night denied the "poison pill" £4.7billion funding gap was a hand grenade for Andy Burnham, insisting it was in fact "absolutely the opposite".

Mr Jarvis repeatedly dodged questions on whether it had been made clear to Mr Burnham that he was being left with a funding gap.

“Of course we’ve been talking to Andy Burnham and his team about this plan,” he told the BBC, and pointed to Sir Keir Starmer’s alleged focus on a “smooth transition” of power.

“Andy Burnham has an absolute commitment to safeguarding our nation and ensuring that we’ve got the resources in place to defend our nation in the way that we think is necessary.”

Mr Jarvis then told Sky News that given the “massive expenditure” required to meet the commitment to increasing defence spending to 3.5 per cent of GDP by 2035, it was “not unreasonable” that “those kinds of decisions are done in the context of a spending review”.

Defence plan sparks already sparks Cabinet rebellion as minister demands urgent meeting over £700m roads cuts

Ministers have criticised the Government for its plans to slash roads funding by a staggering £700million to fund the long-awaited Defence Investment Plan (DIP).

Sir Keir Starmer confirmed that some road and energy projects would not be progressing forward as originally planned to boost defence spending.

The Department for Transport is expected to save £700million by cancelling road projects, including the A38 Derby Junctions and A46 Newark Bypass.

East Midlands Mayor Claire Ward has slammed the plans, saying that her region was facing the largest hit from the proposed defence spending cuts.

The potential moves have also been criticised by Lincoln MP - and Middle East Minister - Hamish Falconer and Mid Derbyshire MP Jonathan Davies.

Both said they were "disappointed" given the lack of clarity, in addition to the risk of it putting a "brake on economic growth".

Mr Falconer took to social media to publicly chastise Sir Keir - with the plans set to target the A46 Newark Bypass widening scheme.

He said: "I support further funding for the DIP, but the A46 upgrade programme is well advanced, long-awaited, excellent value for money and of strategic importance to both Lincoln and the region."

He also warned he would be seeking an "urgent meeting" with the incoming Prime Minister, Chancellor and Transport Secretary following the Labour leadership contest.

READ THE FULL STORY ON THE REBELLION HERE