G7 Summit

Ed Davey Excerpts

Monday 22nd May 2023 Commons Chamber

[The Prime Minister]

I know my right hon. Friend has long championed this, and rightly so, which is why I was pleased, as Chancellor, to increase our defence budget by £24 billion—the largest sustained increase since the end of the cold war. Just recently, the Chancellor added an initial £5 billion of spending over the next two years both to strengthen our nuclear enterprise and to rebuild stockpiles, which is something I know he has been interested in, and we outlined an ambition to increase defence spending to 2.5%. We are on track to get to 2.25% in the next couple of years, at which point we will take stock and see where we are economically and fiscally but, as I have said, the threats our country faces are increasing and it is right that we invest appropriately to protect ourselves.

[Ed Davey (Kingston and Surbiton) (LD)]

Can I join the Prime Minister in paying tribute to the victims of the Manchester Arena bombing and the family of Fusilier Lee Rigby?

I welcome the Prime Minister’s update. He is right that the UK and our allies must be steadfast in our support for Ukraine. He was also right to announce new sanctions on Friday to further restrict Russian businesses from selling their products into the UK. Now we must take further action to support Ukraine. That includes encouraging individuals in this country who have directly invested in companies still active in Russia to sell their personal shares now. Does the Prime Minister agree that these people should end their investment, so they stop supporting the Russian economy and thereby Putin’s war efforts?

[The Prime Minister]

We were one of the first countries to put in place an incredibly comprehensive sanctions regime against Russia. We have sanctioned, at this point, over 1,500 people—tens of billions of dollars of assets. Indeed, because of our actions, something like over $200 billion-worth of Russian state assets are currently now frozen. All that is contributing to a significant squeezing of the Russian economy, as we are seeing, and its ability to replenish its war machine, and we will keep looking for other opportunities to tighten the vice, as we did this weekend.