G7 and NATO Summits

Ed Davey Excerpts

Thursday 26th June 2025 Commons Chamber

[Mr Speaker]

I call the leader of the Liberal Democrats.

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

I thank the Prime Minister for early sight of his statement. The Liberal Democrats agree that it would have been wrong to leave an empty chair in front of the Union Jack at the table for the G7 and NATO. It is astonishing, and I share his surprise, that it is now Conservative policy not to attend the G7 and NATO.

I am glad that the Prime Minister has signalled retreat on his welfare plans. I hope that he will now listen to everyone and not just his Back Benchers.

On the G7, despite the progress that he outlined, it remains extremely damaging to the world economy that the United States and Donald Trump continue their policy of protectionism. Can the Prime Minister update the House on whether he has had discussions with other G7 and, indeed, NATO colleagues about how we could persuade President Trump to resile from protectionism?

On NATO, the Prime Minister is right to say that Putin’s imperial ambitions present a once-in-a-generation threat to our security. Last week, I travelled to Estonia to meet British troops and Estonian leaders, including Prime Minister Michal. The Estonians have not forgotten the repression enforced by Russian tanks, nor the murder of four former Prime Ministers at the hands of the Kremlin. They are under no illusions about the threat posed by Putin, and we must not be either, so I welcome the Prime Minister’s commitment to NATO’s new spending target.

In the face of Russia’s war machine, the British Army remains an essential guarantor of our country’s security and that of our allies. When I met our incredible troops stationed in Estonia, I was inspired by their skill and professionalism. We need to get more brilliant people like them into the military, so will the Prime Minister consider the Liberal Democrats’ proposals to move more quickly to reverse the Conservatives’ cuts to the Army, and back our new £10,000 bonus for recruits? It is vital that we take such measures, as Putin continues his barbarism in Ukraine.

Our commitment to Ukraine’s defence must be increased, not reduced. In addition to the actions that the Prime Minister outlined, can he confirm whether he has held more discussions with partners on not just using the interest from frozen Russian assets, but seizing those assets, so that we can bolster our support for Ukraine and pay for a faster increase in defence spending? The Estonians believe they have a plan to deal with all the complications that he mentions when I ask him questions about this. Is he prepared to meet me to discuss the Estonians’ ideas about how to break the backlog so that we can seize those assets?

The Prime Minister also spoke about the conflicts and crises in the middle east. He is right to push even harder for a ceasefire in Gaza. People around the world will question whether military action, rather than diplomacy, will actually make us safer in the future. We must redouble our efforts for a just peace in the region, and that must include self-determination for the Palestinian people. Will the Government finally commit to recognising a state for the Palestinians?

[The Prime Minister]

May I thank the right hon. Gentleman for his questions? He started by asking whether I have discussed with other G7 partners the question of US tariffs. Yes, we frequently discuss trade, the economy and, frankly, the challenges that those tariffs put in place for all economies. That is the sort of co-ordination and discussion that goes on all the time, and it will continue.

On the troops in Estonia, I have visited them a number of times myself. They are incredibly brave, and they have a real sense of purpose. I can tell the right hon. Gentleman that, at NATO, the frontline states on the border with Russia were leading the charge in relation to the work that we had to do yesterday to renew and take forward the pledges that we make.

The right hon. Member asked about reversing the cuts to the Army. We will begin the work of reversing those cuts. When the Conservatives came into government, there were 100,000 in our Army; when they left, there were 70,000. I think that is what Ben Wallace meant when he said they had “hollowed out” our armed forces.

On the question of the assets, and whether they themselves can be seized rather than just using the interest, I have been discussing that with colleagues, as the right hon. Member would expect. It is complicated, as he knows. There is not one view, frankly, on this issue among colleagues and allies. I am very happy to see the proposals that he has received from Estonia, I believe, or any others, but it remains complicated. I have to say that allies are in different places on this, but we will continue to discuss it.

On a ceasefire in Gaza and recognition, I think it is very important that we have been pressing the case, particularly, in recent days, quite urgently and in close collaboration with our colleagues—the E3 of Germany, France and the UK are working very closely together at the moment—to say that this is the moment to press on from Iran to a ceasefire in Gaza, and I mean that that should happen in days, not weeks or months. I do think there is a window of opportunity here. I hope that it happens but I cannot predict that it will. I do think that all of us should do all we can to ensure that, along with a ceasefire in Iran, we push to that ceasefire in Gaza.

On the question of recognition, it has long been our party’s policy—this Government’s policy—to recognise Palestine at the right time in the process to bring about the peace, because I think that without a two-state solution there is little prospect of lasting peace in the region, and that remains our policy.