Grant Shapps appointed UK Defence Secretary


Damien McElroy
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Net Zero secretary Grant Shapps was appointed Defence Secretary on Thursday to succeed Ben Wallace as Rishi Sunak asked the former salesman to oversee the UK's support for Ukraine and an overhaul of the military.

Mr Wallace announced last month he would resign from the senior cabinet role at the next reshuffle, after four years in the job. Mr Shapps established his credentials with a trip to Ukraine earlier this month to announce support for its nuclear energy ministry.

It is Mr Shapps' fifth cabinet job in the past 12 months and the announcement follows weeks of speculation over Mr Wallace's replacement.

“As I finish my tenure, I can reflect that the Ministry of Defence that I leave is now more modern, better funded and more confident than the organisation I took over in 2019,” Mr Wallace wrote in a resignation letter. “We must not return to the days where defence was viewed as a discretionary spend by government and savings were achieved by hollowing out.”

Politicians with military links, such as Armed Forces Minister James Heappey and Chief Secretary to the Treasury John Glen, had been tipped for the role.

Mr Wallace, who served as defence secretary under three prime ministers, played a key role in the UK’s response to Russia’s invasion of Ukraine and was a close ally of Boris Johnson.

Defence Secretary Ben Wallace's letter to Prime Minister Rishi Sunak after four years in the post.
Defence Secretary Ben Wallace's letter to Prime Minister Rishi Sunak after four years in the post.

Popular among Tory members, he was at one time seen as a potential leadership contender.

He ruled himself out of the race last year, despite being an early front-runner.

His successor will take on the high-profile role as the war in Ukraine continues. The UK military has set out a plan to reduce personnel numbers and modernise its forces to address new challenges such as drone warfare.

Mr Johnson paid tribute to Mr Wallace while praising Mr Shapps as his replacement.

He tweeted: “Sad to see departure of my friend Ben Wallace. A fine defence secretary who got so many calls right – especially on Ukraine.

“Grant Shapps is an excellent choice to succeed him.”

Mr Shapps said he was “honoured to be appointed as Defence Secretary by Rishi Sunak”.

“I’d like to pay tribute to the enormous contribution Ben Wallace has made to UK defence and global security over the last four years,” he wrote on X, formerly Twitter.

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Uefa Champions League, Group C
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Wednesday, 11pm (UAE)

Why it pays to compare

A comparison of sending Dh20,000 from the UAE using two different routes at the same time - the first direct from a UAE bank to a bank in Germany, and the second from the same UAE bank via an online platform to Germany - found key differences in cost and speed. The transfers were both initiated on January 30.

Route 1: bank transfer

The UAE bank charged Dh152.25 for the Dh20,000 transfer. On top of that, their exchange rate margin added a difference of around Dh415, compared with the mid-market rate.

Total cost: Dh567.25 - around 2.9 per cent of the total amount

Total received: €4,670.30 

Route 2: online platform

The UAE bank’s charge for sending Dh20,000 to a UK dirham-denominated account was Dh2.10. The exchange rate margin cost was Dh60, plus a Dh12 fee.

Total cost: Dh74.10, around 0.4 per cent of the transaction

Total received: €4,756

The UAE bank transfer was far quicker – around two to three working days, while the online platform took around four to five days, but was considerably cheaper. In the online platform transfer, the funds were also exposed to currency risk during the period it took for them to arrive.

Updated: August 31, 2023, 11:56 AM