EU leaders set to demand UK close €70bn Ukraine gap
Prime Minister Andy Burnham faces pressure to increase Britain's financial contribution to Kyiv as the European Union seeks to cover its 2027 funding deficit with G7 allies.
By Ama Boateng ·
Ukraine faces a €70bn (£58bn) funding shortfall in 2027 to cover its defence and civilian needs, a deficit European Union leaders plan to address by pressing the UK, Canada, and Japan for increased financial support. Prime Minister Andy Burnham will attend a summit in Brussels on 20 November, where EU officials intend to argue that these G7 nations must do more to assist Kyiv.
European Commission President Ursula von der Leyen stated that the EU currently covers 80% of Ukraine's financial requirements, although the commission considers two-thirds to be a fair share. Von der Leyen told reporters last week, “We will continue to lead, but we urgently need other partners to step up.” The EU aims to use its upcoming meetings to secure commitments from non-EU G7 members to bridge the remaining gap.
The timing presents challenges for the British government, as Chancellor John Healey prepares his first budget next week. Healey is weighing calls for increased spending against rising government borrowing costs and a deteriorating economic outlook. Earlier this month, he noted that he is “working on different ways we can step up support for Ukraine: military, diplomatic and economic.”
The EU agreed to a €90bn loan for Ukraine last year, designed to cover two-thirds of Kyiv's funding for 2026 and 2027. However, as Russia escalates attacks and the war enters its fifth winter, Ukraine's costs continue to rise. EU officials have prioritized the UK, Canada, and Japan for additional aid, though they are also considering Switzerland, South Korea, Australia, and New Zealand.
The British government has committed £25bn to Ukraine, including £16bn in military aid, making the UK the fourth largest donor behind the US, Germany, and France. According to the Kiel Institute's Ukraine Support Tracker, the UK's contribution is 0.86% of national income when weighted by GDP. This is lower than France at 1.1% and Germany at 1.5%, and far below Denmark at 4.2% and Estonia at 3.8%.
Beyond Ukraine, the 20 November summit will focus on concluding three agreements: a food and animal health deal to reduce Brexit paperwork, a linkage of EU and UK emissions trading schemes, and a youth mobility scheme for those aged 18 to 30. The commission proposed deferring the issue of university tuition fees to technical talks within six months of the summit to prevent delays.
Senior EU sources believe they retain leverage because the food and emissions deals will not take effect until a youth mobility agreement is accepted. An EU diplomat described the three elements as “a sort of gift to the UK, but not a massive gift,” adding, “The leverage is that the UK needs this.” A second diplomat noted that there is no clear majority among the 27 member states to drop the tuition fee issue for six months.
Source: The Guardian
