Sir Keir Starmer has come under fire over his promises to increase the UK's defence spending, as the Prime Minister could be set to increase taxes and cut "millions" from the defence budget.
The Government is thought to be planning to cut the science and research budget for the armed forces, halting the proposed modernisation of the defence industry as global tensions continue to increase.
Before his election victory, the Labour leader had pledged a "cast iron commitment" to raise the country's defence spending to 2.5 per cent, but refused to say when the increase would happen.
Now, it appears Starmer will be forced to U-turn on his promise. Sharing his thoughts on GB News, Eamonn claimed the PM "knew" he wouldn't be able to increase the defence spending.
Eamonn Holmes claims Prime Minister Starmer 'knew' he wouldn't be able to increase defence spending
GB News / PA
Eamonn fumed: "Starmer knew he wasn't going to put that up. I don't care what anyone says or predicted.
"He'll have enough experts whispering in his ear and saying this is the situation."
Highlighting Starmer's pre-election promises on defence, Eamonn added: "He more than implied that the defence departments were going to get a fair share of money. There were going to be up upping the ante, there's going to be new investment with them, bearing in mind the decline they've been in for the last 12 years or so, and it ain't going to happen.
"And you know what? He knew it wasn't going to happen - that almost verges on lies."
Prime Minister Sir Keir Starmer is facing cuts to defence spending as inflation rises to 2.2 per cent
PA
Detailing the situation Labour now face in their first economic blow since the election, GB News reporter Olivia Utley explained that there will be "cuts to public spending" and "cuts in budgets across major departments".
LATEST DEVELOPMENTS:
Olivia said: "They're cutting their budget for modernising the armed forces. They're cutting their science and research budget from the armed forces.
"In a increasingly unstable global environment, that budget is pretty important - it'll be really interesting to see how senior members of the armed forces respond to this news."
Highlighting the "huge problem" this brings for Starmer, Olivia added: "Sunak said that if he was prime minister again, he would have raised defence spending to 2.5 per cent, and Keir Starmer was under huge pressure to do the same thing.
"He said that his goal was to raise defence spending to 2.5 per cent, but he would have to wait and see until he got into office to see the state of the books, and it now sounds as though he might actually be cutting it. So this is going to come as a big blow to them."
Eamonn Holmes said Starmer is 'verging on lying' about his goals for defence spending
GB News
Noting other financial challenges for Labour, Olivia claimed that the party will need to "tighten their belts" and "raise plenty of taxes" for working people.
Olivia told GB News: "I think lots of people would probably agree with you, Eamonn. It's beginning to sound as though over the election came and campaign anything that Keir Starmer didn't specifically promise, we cannot rely on.
"He said he wasn't going to raise taxes for working people, but it now does sound as though he is going to raise plenty of other taxes.
"I think there will be a lot of anger in the defence sector over this and possibly in the wider public as well."