Committee publication · Correspondence · 14 July 2026
Correspondence from the Defence Secretary and the Paymaster General and Minister for the Cabinet Office, relating to the Ukraine Support Loan announcement, dated 13 July 2026
Summary
The Defence Secretary and Paymaster General notify the Foreign Affairs Committee that the UK has signed a contractual agreement to participate in the EU's €90 billion Ukraine Support Loan initiative, announced jointly by the Prime Minister and President von der Leyen on 13 July 2026. The UK will contribute to loan costs proportionately to the value of contracts awarded to UK industry, with no financial obligation if no UK contracts are awarded. This aims to enable Ukraine to procure military capabilities from UK defence companies.
Key findings
- UK has signed contractual agreement to join EU's €90 billion Ukraine Support Loan following negotiations that commenced in May 2026.
- UK contribution to loan costs will be proportionate to value of contracts awarded to UK industry; no contribution required if no UK contracts awarded.
- Initiative enables Ukraine to procure military capabilities from UK industry, complementing existing UK military support.
- Described as part of wider UK-EU defence and security cooperation under the Security and Defence Partnership established at May 2025 UK-EU Summit.
- Council of the EU to approve implementing measures to enable Ukraine's access to UK capabilities.
Tone
FactualTopics
Key actors
Emily Thornberry MP, Prime Minister, President von der Leyen, Nick Thomas-Symonds MP, Dan Jarvis MBE MP, Ukraine, European Union, UK industry
Notable line
“If no contracts are awarded to UK companies, the UK will not be required to make a financial contribution to the loan.”
Key Quotes
“Today the Prime Minister and President von der Leyen announced the signing of a contractual agreement to enable the UK to participate in the EU's €90 billion Ukraine Support Loan initiative.”
“The UK will make a fair contribution to the cost to the EU of providing the loan, proportionate to the value of the contracts awarded to United Kingdom industry …”
“… this will help to ensure Ukraine continues to receive the military capabilities it needs to defend itself, deter future aggression, and secure a just and lasting peace.”
Source · parliament.uk record ↗