Ukraine to Gain Access to British Weapons Through EU Loans

The EU plans to allow Ukraine to purchase British weapons using a 60 billion euro loan.

Bloomberg reported this, citing sources.

According to the sources, after several months of negotiations, the EU is close to reaching an agreement with the British government that will grant British defense companies access to the financing program.

They noted that the agreement is likely to be announced as early as next week during a meeting in Paris, which will bring together the countries of the Coalition of the Willing, led by the UK and France, that support Ukraine.

There is no fixed contribution required of the UK for participation in the program.

Instead, the British government will make contributions based on the amount of credit funds Ukraine allocates to purchase weapons from British manufacturers.

The amount of these contributions will be determined by the value of each contract and the costs of servicing the loan.

The agreement is seen as a concession to London after the parties failed to reach an agreement on the UK’s participation in the EU’s SAFE defense fund, worth 150 billion euros.

Negotiations had reached an impasse at the time due to the EU’s demand for an initial contribution from the UK.

At the same time, negotiations on the loan program for Ukraine progressed much more quickly. According to sources, some member states, notably the Netherlands, actively advocated for the agreement to be concluded as soon as possible.

Officials in Brussels also acknowledge that the agreement will primarily benefit Ukraine, as it will simplify the procurement of British weapons and promote further integration of the defense industries of both countries.

Initially, the agreement was planned to be announced during the next UK–EU summit, along with a possible decision on the UK’s access to the EU investment fund for financing technology companies, but these plans were postponed until the end of this year due to the resignation of Prime Minister Keir Starmer.