Europe must boost arms spending and not trust Russia, warns defence firm chief
THE boss of Britain’s biggest defence firm, BAE, says Russia is not to be trusted and the UK and Europe must boost arms spending. Chief executive Charles Woodburn told The Sun that even amid peace …
THE boss of Britain’s biggest defence firm, BAE, says Russia is not to be trusted and the UK and Europe must boost arms spending.
Chief executive Charles Woodburn told The Sun that even amid peace talks over Russia’s invasion of Ukraine: “You can’t trust them in the future.”
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UK and Europe must boost arms spending and not trust Russia, warns boss of defence firm BAECredit: Bae4
Mr Woodburn signalled BAE is ready and confident of meeting higher demand for weapons if governments ramp up military spendingCredit: Alamy4
Charles Woodburn told The Sun that even amid peace talks over Russia’s invasion of Ukraine: 'You can’t trust them in the future'Credit: ReutersHe insisted yesterday: “Even in an environment where there is a ceasefire, you have to be able to defend mainland Europe from an aggressive Russian position.
“That does require a significant step up from where we’ve been since the Cold War.”
His comments come amid rows inside the Government about an increase in the defence budget.
PM Sir Keir Starmer is under pressure to set out a path to raise military spending to 2.5 per cent amid the threat from Russian leader Vladimir Putin.
READ MORE ON RUSSIAMr Woodburn said: “They’re talking about two and a half per cent, but the time frame by which we reach there, we are waiting with interest on that.”
He added Nato chief Mark Rutte had suggested a two per cent figure was a “floor, not a ceiling”.
Mr Woodburn signalled BAE is ready and confident of meeting higher demand for weapons if governments ramp up military spending.
The firm has already been increasing recruitment and training British apprentices.
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BAE reported a record £78billion backlog of orders as the “elevated threat” encouraged £33.7billion of new business.
Its CV90 fighting vehicles are one of its top orders, particularly with a sale surge to Sweden and Denmark.
Trump says he and Putin ready to meet in just DAYS - but US spies warn Russia aren’t preparing to stop war in UkraineMr Woodburn said BAE was still waiting for US clarity on its defence spending, particularly as Elon Musk’s Doge unit was currently slashing federal spending and will target the Pentagon.
BAE’s Tom Arseneault, boss of the US division, told The Sun it was trying to engage with Doge on savings, but highlighted President Donald Trump has been vocal about developing a US version of Israel’s Iron Dome missile defence system.
This could be a big advantage for BAE, which last year spent $5.5billion (£4.4billion) buying Ball Aerospace in a bet that space is the next frontier of warfare.
SMALLER FIRMS TO AXE STAFF
A THIRD of small businesses are planning to axe jobs due to soaring staff costs.
And Labour’s employment rights changes are expected to depress recruitment.
Small businesses, which account for 99 per cent of UK firms, claim changes to employers’ National Insurance Contributions will hit the part-time workers they rely on.
A poll of 1,400 firms by the Federation of Small Businesses (FSB) in the final quarter of last year revealed that a third expect to cut their workforce.
Two-thirds plan to curb hiring in the face of the incoming Employment Rights Bill, with nearly a third planning to axe staff before the new measures come into effect.
Tina McKenzie, FSB’s policy chair, said: “Plans to allow employees to sue employers on their first day on the job will wreak havoc on our economy, while changes to Statutory Sick Pay will make employers think twice about hiring.”
MINING giant Glencore has dealt a blow to the City after confirming it is considering ditching its £40billion London listing in favour of New York.
Boss Gary Nagle said that the firm was looking at whether other exchanges were “better suited” as the firm’s valuation has continued to tread water in comparison to its peers.
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Glencore is considering ditching its London listing in favour of New YorkCredit: AFPGlencore’s shares yesterday tumbled by 7 per cent in response to the news.
The potential loss adds to questions about London’s shrinking pool of firms and how to revive the market.
Chancellor Rachel Reeves met with senior figures from City firms to discuss ways “to make the UK’s capital markets more competitive”.
The Treasury, meanwhile, confirmed it will change regulation so the buying and selling of shares is settled in just one day, like in the US.
However, it will take more than two years for these so- called “T+1” changes to be put in place in order to align with Europe too.
COST HIT FOR JET2
BUDGET airline Jet2 said it has been caught in a tailspin — after warning its profits could take a hit from cautious holidaymakers delaying their trips.
The carrier lost a tenth of its market value after it warned that passengers were booking later than ever.
It also said it faced a £20million hit from a regulations switch to greener aviation fuel, as well as paying another £25million over the Budget’s increase in staffing costs.
JOB cuts are on the cards at HSBC after it revealed plans to cut £1.1billion in costs within the next year.
Boss Georges Elhedery has signalled staffing costs would be reduced by eight per cent.
Read more on the Scottish SunHe suggested the cull on roles would run into the thousands. The UK is set to bear the brunt after he said much “of the weight will be borne by the head office, specifically in the UK”.
Meanwhile, HSBC has revealed that Mr Elhedery could be entitled to a bonus worth up to £9million.
BUTTER ON SLIDE
THE maker of Lurpak butter admitted that its higher prices were likely to put off shoppers this year.
Dairy giant Arla said it expected sales volumes to slip by one to two per cent due to “elevated prices”.
It comes as figures show that average butter prices have surged by 18.3 per cent.
Bas Padberg, managing director of Arla Foods UK, revealed that its revenues had fallen by 2.9 per cent, despite an uptick in sales of its branded products, such as Lurpak and Skyr yoghurt.
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