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'Defence black hole' and 'Starmer's gift to Burnham'
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'Defence black hole' and 'Starmer's gift to Burnham'

BBC News · Jul 1, 2026, 12:02 AM · Also reported by 4 other sources

Key takeaways

  • Many of Wednesday's papers lead with the fallout from the announcement of the Defence Investment Plan (DIP) yesterday.
  • Image caption, On the "defence black hole", the Times says "PM in waiting", Burnham, must "raise taxes or cut spending" and "was not told in advance about the gap".
  • Image caption, "PM still puts welfare ahead of defence boost" is the Daily Express's take on the DIP.

Why this matters: a developing story that could shape the day's news cycle.

Many of Wednesday's papers lead with the fallout from the announcement of the Defence Investment Plan (DIP) yesterday. Sir Keir Starmer's "gift" to Andy Burnham for his first Budget is a "£4.7bn hole", writes. The i Paper. The outgoing prime minister "risks political row", it says, after leaving a third of the scheme unfunded.

Image caption, On the "defence black hole", the Times says "PM in waiting", Burnham, must "raise taxes or cut spending" and "was not told in advance about the gap". The paper also reports that the number of billionaires "soars thanks to boom in AI".

Image caption, "PM still puts welfare ahead of defence boost" is the Daily Express's take on the DIP. Sir Keir has been "blasted" for his "refusal to rein in" welfare by critics, it adds.

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