British Prime Minister Rishi Sunak. AFP
British Prime Minister Rishi Sunak. AFP
British Prime Minister Rishi Sunak. AFP
British Prime Minister Rishi Sunak. AFP

Sunak sets 2.5% defence spending target at Integrated Review Refresh launch


Soraya Ebrahimi
  • English
  • Arabic

British Prime Minister Rishi Sunak announces how the UK will tackle new threats from Russia and China, protect the economy and compete at the cutting edge of technology to launch the Integrated Review Refresh in the US on Monday.

Mr Sunak will confirm plans to boost spending by £5 billion ($6 billion) in defence over the next two years, to help replenish and bolster ammunition stocks, modernise the UK’s nuclear enterprise and fund the next phase of the Aukus submarine programme.

It follows a £24 billion, four-year rise in defence spending in 2020, in the largest sustained increase since the Cold War.

Mr Sunak will also set out an ambition to increase defence spending to 2.5 per cent of GDP in the longer term, with a review of defence spending after 2025 to take place after the Nato Summit in Lithuania this summer. He spoke to Jens Stoltenberg on Sunday to brief the Nato Secretary General on the plan and said the UK boost would maintain the UK as a cornerstone of the alliance.

"The Prime Minister also reaffirmed the UK's intention to remain a leading contributor to Nato, recognising the importance of continuing to invest in collective Euro-Atlantic security," a spokesman said. "Secretary-General Stoltenberg welcomed the valuable role of the United Kingdom as a staunch Nato ally.

“By investing in our armed forces for the long-term, we will be ready for the challenges of today and of the future.”

The Integrated Review Refresh was commissioned to respond to what are considered to be emerging threats, from Russia’s illegal invasion of Ukraine to China’s economic coercion and increased competition between states.

Lord Dannatt, the former top British general, said the £5 billion was welcome but not enough to ensure the UK was a credible player. "The Government by coming up with £5billion has met a third of what most analysts believe we need to be spending on our defence to be credible both to play our part along with the Americans and the Australians," he said on Monday. "That is a big deal for the Prime Minister at the present moment with regard to the Indo-Pacific but also to play our full part in European security and that is the area I am still most concerned about."

The original Integrated Review identified an Indo-Pacific priority for the UK but the far-reaching consequences of the UK war has triggered a refresh of the framework.

The report identifies priorities to tackle those head-on.

Rishi Sunak through the years - in pictures

  • British Prime Minister Rishi Sunak announces July 4 as the date for the 2024 general election at No 10 Downing Street. Here, The National looks back at his political career. Getty Images
    British Prime Minister Rishi Sunak announces July 4 as the date for the 2024 general election at No 10 Downing Street. Here, The National looks back at his political career. Getty Images
  • Mr Sunak during local election campaigning in Teesside in May 2024. Getty Images
    Mr Sunak during local election campaigning in Teesside in May 2024. Getty Images
  • Mr Sunak presents cupcakes to journalists on board a plane on the way to Warsaw in April 2024. Getty Images
    Mr Sunak presents cupcakes to journalists on board a plane on the way to Warsaw in April 2024. Getty Images
  • Mr Sunak during a press conference in Downing Street in January after the Safety of Rwanda Bill passed its third reading in the House of Commons. Getty Images
    Mr Sunak during a press conference in Downing Street in January after the Safety of Rwanda Bill passed its third reading in the House of Commons. Getty Images
  • Being applauded after his speech at the Conservative Party conference in October 2023. Getty Images
    Being applauded after his speech at the Conservative Party conference in October 2023. Getty Images
  • Looking pensive alongside then-home secretary Suella Braverman at No 10 in October 2023. She didn't last much longer in the cabinet. Getty Images
    Looking pensive alongside then-home secretary Suella Braverman at No 10 in October 2023. She didn't last much longer in the cabinet. Getty Images
  • Mr Sunak sits in an old Special Branch police vehicle which was used to transport former prime minister Margaret Thatcher, in July 2023. Getty Images
    Mr Sunak sits in an old Special Branch police vehicle which was used to transport former prime minister Margaret Thatcher, in July 2023. Getty Images
  • On board Border Agency cutter HMC Seeker during a visit to Dover in June 2023. Getty Images
    On board Border Agency cutter HMC Seeker during a visit to Dover in June 2023. Getty Images
  • Mr Sunak alongside European Commission President Ursula von der Leyen, Canada's Prime Minister Justin Trudeau, US President Joe Biden, French President Emmanuel Macron and German Chancellor Olaf Scholz during the G7 Summit in May 2023. Getty Images
    Mr Sunak alongside European Commission President Ursula von der Leyen, Canada's Prime Minister Justin Trudeau, US President Joe Biden, French President Emmanuel Macron and German Chancellor Olaf Scholz during the G7 Summit in May 2023. Getty Images
  • Mr Sunak and his wife Akshata Murty arriving in Japan ahead of the G7 Summit in May 2023. Getty Images
    Mr Sunak and his wife Akshata Murty arriving in Japan ahead of the G7 Summit in May 2023. Getty Images
  • Mr Sunak and Chancellor Jeremy Hunt sending a message at Accrington Market Hall in January 2023. Getty Images
    Mr Sunak and Chancellor Jeremy Hunt sending a message at Accrington Market Hall in January 2023. Getty Images
  • Mr Sunak and Ukrainian President Volodymyr Zelenskyy meet in Ukraine's capital Kyiv in November 2022. Getty Images
    Mr Sunak and Ukrainian President Volodymyr Zelenskyy meet in Ukraine's capital Kyiv in November 2022. Getty Images
  • King Charles III welcomes Mr Sunak during an audience at Buckingham Palace, where he invited the newly elected leader of the Conservative Party to become Prime Minister and form a new government in October 2022. Getty Images
    King Charles III welcomes Mr Sunak during an audience at Buckingham Palace, where he invited the newly elected leader of the Conservative Party to become Prime Minister and form a new government in October 2022. Getty Images
  • Mr Sunak makes a statement outside No 10 in October 2022 after taking office. Getty Images
    Mr Sunak makes a statement outside No 10 in October 2022 after taking office. Getty Images
  • Mr Sunak arrives inside Number 10 in October 2022. Photo: Simon Walker/ No 10 Downing Street
    Mr Sunak arrives inside Number 10 in October 2022. Photo: Simon Walker/ No 10 Downing Street
  • Greeted by colleagues at Conservative Party HQ after having been announced winner of the leadership contest in October 2022. Getty Images
    Greeted by colleagues at Conservative Party HQ after having been announced winner of the leadership contest in October 2022. Getty Images
  • Mr Sunak at Westminster Hall in London following the death of Queen Elizabeth II in September 2022. PA
    Mr Sunak at Westminster Hall in London following the death of Queen Elizabeth II in September 2022. PA
  • Mr Sunak visits his family's old business, Bassett Pharmacy, on the campaign trail in August 2022. Getty Images
    Mr Sunak visits his family's old business, Bassett Pharmacy, on the campaign trail in August 2022. Getty Images
  • Mr Sunak looks at an NLAW anti-tank launcher during a visit to the Thales Defence System plant in Belfast in August 2022. Getty Images
    Mr Sunak looks at an NLAW anti-tank launcher during a visit to the Thales Defence System plant in Belfast in August 2022. Getty Images
  • At a hustings event in Exeter in August 2022. Getty Images
    At a hustings event in Exeter in August 2022. Getty Images
  • Celebrates England's first goal as he watches the Women's Euro 2022 final in Salisbury in July 2022. Getty Images
    Celebrates England's first goal as he watches the Women's Euro 2022 final in Salisbury in July 2022. Getty Images
  • Mr Sunak and Ms Truss take part in the BBC Leadership debate at Victoria Hall, Hanley, in July 2022. Getty Images
    Mr Sunak and Ms Truss take part in the BBC Leadership debate at Victoria Hall, Hanley, in July 2022. Getty Images
  • With daughters Krisna and Anoushka and wife Akshata Murthy in July 2022. Getty Images
    With daughters Krisna and Anoushka and wife Akshata Murthy in July 2022. Getty Images
  • Opening the Great Ayton Village Fete during the queen’s Platinum Jubilee celebrations in June 2022. Getty Images
    Opening the Great Ayton Village Fete during the queen’s Platinum Jubilee celebrations in June 2022. Getty Images
  • Mr Sunak and Ms Murthy speak to then-Prince Charles at a British Asian Trust event in February 2022. Getty Images
    Mr Sunak and Ms Murthy speak to then-Prince Charles at a British Asian Trust event in February 2022. Getty Images
  • Mr Sunak arrives at COP26 in Glasgow in November 2021 when he was chancellor. Getty Images
    Mr Sunak arrives at COP26 in Glasgow in November 2021 when he was chancellor. Getty Images
  • Holding the budget box as he departs 11 Downing Street to deliver his Autumn Budget in October 2021. Getty Images
    Holding the budget box as he departs 11 Downing Street to deliver his Autumn Budget in October 2021. Getty Images
  • At a press conference on the 2021 Budget in London in March 2021. Getty Images
    At a press conference on the 2021 Budget in London in March 2021. Getty Images
  • With former prime minister Boris Johnson during a visit to PD Ports on the River Tees in March 2021. Getty Images
    With former prime minister Boris Johnson during a visit to PD Ports on the River Tees in March 2021. Getty Images
  • Mr Sunak poses with the budget box at 11 Downing Street in March 2021. Getty Images
    Mr Sunak poses with the budget box at 11 Downing Street in March 2021. Getty Images
  • Meeting staff back at work after being furloughed at Hamleys toy shop in London, December 2020. Photo: HM Treasury
    Meeting staff back at work after being furloughed at Hamleys toy shop in London, December 2020. Photo: HM Treasury
  • Mr Sunak visits the Imperial Clinic Research Facility at Hammersmith Hospital, London, in November 2020. Getty Images
    Mr Sunak visits the Imperial Clinic Research Facility at Hammersmith Hospital, London, in November 2020. Getty Images
  • Lighting a candle for Diwali on Downing Street, November 2020. Getty Images
    Lighting a candle for Diwali on Downing Street, November 2020. Getty Images
  • Working on a speech in his flat above 11 Downing Street in November 2020. Photo: HM Treasury
    Working on a speech in his flat above 11 Downing Street in November 2020. Photo: HM Treasury
  • Mr Johnson and Mr Sunak visit the headquarters of Octopus Energy in London in October 2020. Getty Images
    Mr Johnson and Mr Sunak visit the headquarters of Octopus Energy in London in October 2020. Getty Images
  • With his 'Winter Economy Plan' outside 11 Downing Street in September 2020. AFP
    With his 'Winter Economy Plan' outside 11 Downing Street in September 2020. AFP
  • Decorating a plate at Emma Bridgewater pottery in Stoke pottery in September 2020. Getty Images
    Decorating a plate at Emma Bridgewater pottery in Stoke pottery in September 2020. Getty Images
  • Promoting 'eat out to help out' on the Isle of Bute, Scotland, in August 2020. Getty Images
    Promoting 'eat out to help out' on the Isle of Bute, Scotland, in August 2020. Getty Images
  • A member of the public takes a selfie with Rishi Sunak during a visit to Scotland in August 2020. AFP
    A member of the public takes a selfie with Rishi Sunak during a visit to Scotland in August 2020. AFP
  • Visiting a Wagamama restaurant in central London in July 2020. Photo: HM Treasury
    Visiting a Wagamama restaurant in central London in July 2020. Photo: HM Treasury
  • Rishi Sunak visits a Pret A Manger in Westminster in July 2020. HM Treasury
    Rishi Sunak visits a Pret A Manger in Westminster in July 2020. HM Treasury
  • With Mr Johnson at his first Cabinet meeting after a reshuffle at 10 Downing Street in February 2020. Getty Images
    With Mr Johnson at his first Cabinet meeting after a reshuffle at 10 Downing Street in February 2020. Getty Images
  • Mr Sunak speaks during a general election debate in Cardiff in November 2019. Getty Images
    Mr Sunak speaks during a general election debate in Cardiff in November 2019. Getty Images

The first is dealing with the fundamental risk posed to European security by Russia, and denying Moscow any benefit from its invasion of Ukraine.

“As the world becomes more volatile and competition between states becomes more intense, the UK must be ready to stand our ground,” Mr Sunak said.

“We have seen all too clearly in the last year how global crises impact us at home, with Russia’s appalling invasion of Ukraine driving up energy and food prices.

“We will fortify our national defences, from economic security to technology supply chains and intelligence expertise, to ensure we are never again vulnerable to the actions of a hostile power."

The Integrated Review Refresh also sets out how the UK government will adapt its approach on China to deal with the challenge presented by the country's military, financial and diplomatic activity.

It contains new measures to strengthen the UK’s economic security, technology capabilities and international development in the face of that challenge.

Mr Sunak has set the direction across government for a consistent, coherent and robust approach to China, rooted in the national interest and aligned with its allies.

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Founders: Michele Ferrario, Nino Ulsamer and Freddy Lim
Started: established in 2016 and launched in July 2017
Based: Singapore, with offices in the UAE, Malaysia, Hong Kong, Thailand
Sector: FinTech, wealth management
Initial investment: $500,000 in seed round 1 in 2016; $2.2m in seed round 2 in 2017; $5m in series A round in 2018; $12m in series B round in 2019; $16m in series C round in 2020 and $25m in series D round in 2021
Current staff: more than 160 employees
Stage: series D 
Investors: EightRoads Ventures, Square Peg Capital, Sequoia Capital India

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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Classification of skills

A worker is categorised as skilled by the MOHRE based on nine levels given in the International Standard Classification of Occupations (ISCO) issued by the International Labour Organisation. 

A skilled worker would be someone at a professional level (levels 1 – 5) which includes managers, professionals, technicians and associate professionals, clerical support workers, and service and sales workers.

The worker must also have an attested educational certificate higher than secondary or an equivalent certification, and earn a monthly salary of at least Dh4,000. 

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South Africa captain Faf du Plessis said on Friday the Twenty20 World Cup in Australia in two years' time will be his last.

Du Plessis, 34, who has led his country in two World T20 campaigns, in 2014 and 2016, is keen to play a third but will then step aside.

"The T20 World Cup in 2020 is something I'm really looking forward to. I think right now that will probably be the last tournament for me," he said in Brisbane ahead of a one-off T20 against Australia on Saturday. 

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Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south

Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory

The Vile

Starring: Bdoor Mohammad, Jasem Alkharraz, Iman Tarik, Sarah Taibah

Director: Majid Al Ansari

Rating: 4/5

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2019: Trump tweets about “Khan’s Londonistan”, calling him “a national disgrace”

2022:  Khan’s office attributes rise in Islamophobic abuse against the major to hostility stoked during Trump’s presidency

July 2025 During a golfing trip to Scotland, Trump calls Khan “a nasty person”

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Dec 2025 Trump suggests migrants got Khan elected, calls him a “horrible, vicious, disgusting mayor”

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Updated: March 13, 2023, 10:31 AM