Britain and the European Union are on track to reach an agreement on the UK’s participation in the bloc’s SAFE defense fund, according to European Council President Antonio Costa.
Speaking in Paris, Costa said he was confident a deal would eventually be secured, despite negotiations breaking down last November over financial contributions. At the time, the UK government declined to pay into the original 150 billion euro fund, derailing its initial bid to join.
Costa pointed to improving relations between London and Brussels as a key factor behind renewed optimism. Since taking office, British Prime Minister Keir Starmer has pushed for a “reset” in ties with the European Union following Brexit.
“The reset is going well,” Costa said, adding that while talks could take weeks or months, an agreement was likely.
He also highlighted growing defense cooperation between the UK and EU countries, particularly Britain’s joint leadership with France in supporting Ukraine through the so-called “Coalition of the Willing.”
The SAFE fund is a multi-billion-euro initiative through which the EU raises money on financial markets to lend to member states for defense purposes. Britain had previously sought to join the original program but balked at the required financial contribution.
More recently, Starmer has indicated his government may consider applying to participate in a second potential SAFE fund, signaling continued interest in closer defense collaboration with the bloc.
