UK’s Reeves Hints at Spending Cuts to Fund Defense Boost

UK Chancellor Rachel Reeves signaled reluctance to raise taxes or borrow to pay for a boost to military spending as the government considers how to accelerate planned increases following the Iran war.

Reeves told reporters on Thursday that she is working on a range of options on defense spending, but added she is willing to make “difficult choices.” With Reeves effectively ruling out higher taxes or borrowing to fund any extra spending, her remarks suggest she will turn to restraint on spending.