UK considers joining Canada-led global defence bank

The United Kingdom is considering joining the Defence, Security and Resilience Bank (DSRB), a multilateral investment vehicle led by Canada. The bank aims to provide lower-cost loans to help allied nations fund defence projects and bolster military procurement and industrial capacity.

Chancellor John Healey is evaluating the bid, marking a shift from his predecessor Rachel Reeves, who had previously rejected the concept. Treasury officials noted that no final decision has been made. Membership for G7 nations would involve an upfront investment cost of approximately £870 million spread over three years.

The DSRB currently has backing from several nations, including Ukraine, Turkey, Albania, Bulgaria, Belgium, Greece, Latvia, Luxembourg, and Romania. The discussions come amid heightened security concerns in Europe and efforts to scale international defence cooperation.