UK, EU eye fresh defence talks after SAFE breakdown

The United Kingdom and the European Union are examining the possibility of restarting negotiations on closer defence cooperation, as Prime Minister Keir Starmer signaled a desire to “go further” in rebuilding relations with Brussels.

EU Trade Commissioner Maroš Šefčovič is due to visit London next week for discussions covering trade, energy, and fisheries. However, diplomatic sources said the UK is eager to reopen talks on defence cooperation at the earliest opportunity, following the collapse of previous negotiations late last year, The Guardian reports.

Talks on the UK’s potential participation in the EU’s €150 billion (£130 billion) Security Action for Europe (SAFE) defence fund broke down in November 2025, amid claims that the cost of entry set by the EU was prohibitively high. France has denied responsibility for the failure, though diplomatic sources say tensions persist between Paris and other EU member states, particularly Germany, which has expressed a desire for UK involvement in SAFE “as soon as possible.”

According to one European source, France sought to make UK participation in SAFE conditional on London also joining a second EU defence initiative agreed in December, involving a €90 billion loan package to Ukraine backed by frozen Russian assets held in Belgium. Germany, however, has opposed attaching any such preconditions.

Officials in Brussels have privately acknowledged that the breakdown of talks was “an embarrassment,” particularly given that both sides had previously announced the prospect of “enhanced cooperation” at a summit hosted by Starmer and European Commission President Ursula von der Leyen in May 2025. Despite the setback, there is now said to be broader appetite on both sides to revive discussions on UK participation in a future round of SAFE, especially in light of US President Donald Trump’s criticism of NATO and his controversial remarks about Greenland.

Speaking in Beijing on January 30, Starmer did not explicitly mention defence but emphasized the need for closer UK-EU ties beyond existing trade agreements. “I think we should not just follow through on what we’ve already agreed. I think the relationship with the EU and every summit should be iterative,” he said. “We should be seeking to go further.”

Starmer suggested that progress could be made within the single market, rather than the customs union, noting: “I do think we can go further. And the place to look is the single market, rather than the customs union, which doesn’t now serve our purpose very well.”

The prime minister is facing growing pressure from within the Labour Party to deepen ties with the EU, particularly amid strained relations with the United States under Trump. Stella Creasy, Labour MP and chair of the Labour Movement for Europe, said: “There’s now a growing recognition our future lies with restoring a strong working relationship not just on defence but on national and economic security. That means everything should be on the table in talks with EU countries.”

Šefčovič is scheduled to meet Nick Thomas-Symonds on Monday for the annual meeting of the EU-UK Partnership Council, established to oversee post-Brexit relations. Defence is not formally on the agenda, with the UK currently prioritising discussions on food and drink. Šefčovič and EU Economy Commissioner Valdis Dombrovskis are also expected to meet Rachel Reeves to discuss geoeconomic issues, alongside talks with Business Secretary Peter Kyle.

Further informal discussions on defence may take place at a political summit in Washington on Wednesday, convened by Marco Rubio to address critical minerals, where the UK will be represented by a Foreign Office minister.

A source close to the UK government said previous negotiations failed due to a substantial financial gap between the two sides. “The UK government was prepared to pay a certain amount, but there was a huge gap between the parties,” the source said. “Europe needs the UK… The UK government is open to a second go but clearly if the EU came back with the same kind of proposition, it would be the same answer. It was very much the French who were seen as pushing this unreasonable position.”

It is understood the EU sought a UK contribution of around €2 billion, while British officials believed a sum “in the hundreds of millions” would be more appropriate.

The SAFE fund is financed through European Commission borrowing on credit markets, with loans issued to member states over 45 years to procure military equipment ranging from ammunition to drones and missiles. While the UK would not be eligible to apply for SAFE loans, participation as a third country would allow British defence companies to bid for procurement contracts, potentially providing a boost to the UK defence industry.

By Vafa Guliyeva