EU-UK on Track for Defence Fund Deal Amid Renewed Diplomacy

EU Council President Antonio Costa expressed optimism about a potential UK-EU agreement over Britain's involvement in the EU's SAFE defence fund. Despite previous negotiation breakdowns, improved EU-UK relations under Prime Minister Keir Starmer, along with joint leadership on Ukraine issues, provide grounds for hope.

EU Council President Antonio Costa expressed confidence on Tuesday regarding a potential agreement between the UK and the European Union concerning Britain's participation in the multi-billion-euro SAFE defence fund. This optimism comes despite earlier negotiation setbacks in November.

Costa cited improved relations between the UK and the EU, emphasized by Prime Minister Keir Starmer's consistent efforts for a post-Brexit "reset," as a promising foundation for an upcoming deal. Additionally, he pointed to the joint UK-French leadership on Ukraine's "Coalition of the Willing" as a basis for his confidence.

Addressing an audience at Paris' Sciences Po university, Costa remarked that the "reset" initiated by the new Labour government is progressing well. He suggested that while negotiations may take some weeks or months, an agreement with the UK on the SAFE fund was imminent.

(With inputs from agencies.)