Starmer faces a £4.25bn shortfall following a policy reversal, prompting concerns over potential tax rises and the impact on investor confidence.

Starmer has conceded ground on proposed welfare cuts to avoid a damaging Labour split, aiming to unite the party through a compromise amid anger over forceful government tactics.

NATO allies have pledged to bolster defence spending, committing to a 5% target by 2035 and reaffirming unity among Western nations, including firm backing for Britain, as attention to the war in Ukraine shows signs of easing.

Trump has openly criticised Israel and Iran, demanding a return to calm as tensions over missile attacks and diplomatic stalemates strain the fragile ceasefire in the Middle East.