New Defence Secretary urged not to accept less than £18billion from Rachel Reeves to boost military

New Defense Secretary Dan Jarvis must demand at least £18bn extra from the Treasury as a condition of signing off on the long-awaited defense investment plan, Whitehall sources have said.

The former Parachute Regiment officer, who has been security minister since the 2024 general election, was appointed after John Healey dramatically resigned on Thursday in protest at a lack of funding for the Defense Investment Plan.

He was promised an extra £13.5bn; That’s less than half of the £28bn Army commanders said they needed.

This triggered a resignation letter from Mr Healey in which he said he had ‘no choice’ after learning defense spending would rise from 2.6 per cent of gross domestic product next year to just 2.68 per cent in 2030.

Mr Jarvis was given a further two weeks to review the proposals before the plan is published ahead of a NATO meeting on July 7.

Now defense sources have said he should refuse to agree to the plan unless the extra funding reaches £18bn.

A source said: ‘The Strategic Defense Review included 62 recommendations for new equipment costing £28bn.

Rachel Reeves (pictured June 3) can reportedly offer just £10bn for the Ministry of Defence, of which £3.5bn would come from ‘efficiency savings’.

‘[Chancellor] Rachel Reeves said she could only offer £10bn to the Ministry of Defense, with a further £3.5bn coming from “efficiency savings” due to the retirement of warships, bases and aircraft.

‘That’s not close enough and the minimum amount that would work and the amount Dan would have to accept is £18bn.’

In his letter, Mr Healey said the funding deal would force him ‘to take decisions that would reduce the readiness of our Forces and increase the risk to personnel in operations and could make the country less safe’.

Sir Keir Starmer said in his response that he was ‘proud of our record on funding’.