The EU’s ‘buy European’ defence spending plan is protectionist and short-sighted. And it really just means ‘buy French’, writes Eliot Wilson

The message from President Trump that Europe can no longer rely on American military power and must look to its own resources seems finally to be filtering through to the continent’s chancelleries. The European Commission has proposed a €150bn loan mechanism, Security Action for Europe (SAFE); this would be raised on the capital markets and would fund member states’ investment in urgently needed capabilities like drones and missile defence.

It is a substantial sum of money, though Germany is now contemplating an additional €500bn just for its own defence budget after the Bundestag agreed to modify the country’s constitutional “debt brake”. But this is Brussels: not only is the “free lunch” illusory but every bite can have a ripple of consequences.

What is the new EU defence spending plan?

SAFE as currently proposed would only be available to be spent with manufacturers which are wholly within the EU, Norway or Ukraine (65 per cent) and countries which have signed security agreements with the........

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