Connect with us

Published

on

On the plane from Warsaw to Berlin, Rishi Sunak was buoyant as he briefly chatted to the travelling pack. 

Having delivered his hat-trick of welfare reforms, the Rwanda bill and now the big lift in defence spending, he was a prime minister who clearly feels on the front foot after a torrid few months.

He looked like a man enjoying the job.

Politics live: Sunak warns Europe is at a ‘turning point’

Allies said Mr Sunak has spoken a lot about the spending decision with his current Foreign Secretary Lord David Cameron, who has “form” in prioritising these decisions, having committed to defence funding back in 2010 when he was prime minister in the face of competing spending demands.

“The PM’s thought about this a lot, which is why it’s so detailed today,” said one government source.

The big decision he announced in this election year to increase defence spending to 2.5% by 2030 was a choice.

More on Defence

He could have committed funding to schools, the NHS or local government. But, for this prime minister, it was the right choice.

Follow Sky News on WhatsApp
Follow Sky News on WhatsApp

Keep up with all the latest news from the UK and around the world by following Sky News

Tap here

It might not be the most salient issue for voters at home, but in his speech today, he left his audience in little doubt about the risks we are facing with the rise of authoritarian regimes, such as China, Russia and Iran, working together to undermine our democracies and way of life.

But equally, Mr Sunak made this commitment knowing all too well that it may not be him that has to deliver it.

And while the sum is really big – £75bn of spending over the next six years – for this year the only commitment will be £500m for Ukraine, with the remainder of the funding coming in the next parliament.

Read more:
Sunak: World more volatile and dangerous than at any time since Cold War

On the assumed baseline, the government had already allocated the additional funding for 2.3% defence spending annually in the next parliament.

Increasing that to 2.5% by 2028-29 will, in cash terms, require £4.5bn of funding, which the government says will be paid for through £1.6bn from the annual research and development budget and £2.9bn from 70,000 cuts to civil servant jobs, taking the workforce back to pre-pandemic levels.

Please use Chrome browser for a more accessible video player

PM: ‘We cannot be complacent’

It is a clear political trap for Sir Keir Starmer, who spent much of his early years as Labour leader trying to undo the damage done by his predecessor, Jeremy Corbyn – who did not support NATO.

Starmer trap

Sir Keir has sought to re-establish Labour’s security credentials in recent years, most notably in his stance on the Israel-Hamas conflict, in which he has made sure he sticks to the US position and stands with the government on matters of national security.

So this is a big test.

Sir Keir said recently that he wanted to commit to the 2.5% of “when resources allow”, giving a future Labour government some wriggle room as it contemplates how to allocate scarce public resource.

Because, as the polls stand, Mr Sunak won’t be the prime minister having to deliver on defence-spending pledges, and already Conservative politicians are challenging Labour to commit to their plans, knowing all too well that it reduces the party’s manoeuvrability in government should it win the general election.

Hard call

And this is a hard call for the Labour leader, who has been desperate to present himself as a politician who also puts the security of the nation above all else.

In Poland, Mr Sunak evoked Winston Churchill, saying: “We did not choose this moment, but it is for us to meet it.”

He also said that to lead was to make choices, and his choice was to protect his citizens above all else.

How can Starmer refuse to meet the commitment?

Continue Reading

Politics

Ex-prosecutor denies promising not to charge FTX executive’s partner

Published

on

By

Ex-prosecutor denies promising not to charge FTX executive's partner

Danielle Sassoon, one of the US attorneys behind the prosecution of former FTX CEO Sam “SBF” Bankman-Fried, took the stand in an evidentiary hearing involving a deal with one of the company’s executives. 

In a Thursday hearing in the US District Court for the Southern District of New York, Sassoon testified about the guilty plea of Ryan Salame, the former co-CEO of FTX Digital Markets, which resulted in his sentencing to more than seven years in prison. 

According to reporting from Inner City Press, Sassoon said that her team would “probably not continue to investigate [Salame’s] conduct” if he agreed to plead guilty. Further investigation into the former FTX executive and his then-girlfriend, Michelle Bond, resulted in the latter facing campaign finance charges.

“I’m not in the business of gotcha or tricking people into pleading guilty,” said Sassoon, referring to Bond being charged after Salame’s plea. 

Bond, one of the final figures tied to the criminal cases involving former FTX executives, has been attempting to have her charges dismissed based on claims that prosecutors “induced a guilty plea” from Salame. The end of her case would likely mark the final chapter in criminal charges that began when FTX filed for bankruptcy in November 2022.

Related: Three years after FTX’s collapse, creditors wait as the industry rebuilds trust

She pleaded not guilty to charges of conspiracy to cause unlawful campaign contributions, causing and accepting excessive campaign contributions, causing and receiving an unlawful corporate contribution and causing and receiving a conduit contribution.

The charges are closely tied to Salame allegedly ordering $400,000 in funds connected to FTX, which was used for Bond’s 2022 campaign for a seat in the US House of Representatives.

It’s been three years since FTX collapsed… who’s in prison?

Salame reported for his seven-and-a-half-year prison sentence in October 2024. Caroline Ellison, the former CEO of Alameda Research, pleaded guilty and began serving a two-year sentence in November 2024.

Two other former executives named in the indictment, Nishad Singh and Gary Wang, pleaded guilty and received sentences of time served.

For Bankman-Fried, however, the saga is ongoing. The former CEO has been behind bars since August 2023, when a judge revoked his bail over allegations of witness intimidation. He was later tried, found guilty and sentenced to 25 years in prison as part of proceedings closely monitored by many in the crypto and blockchain industry.