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<p>At the 2014 NATO Wales Summit, all Allies signed a Defence Investment Pledge (DIP)
undertaking to reach 2% of Gross Domestic Product (GDP) on defence and 20% of defence
expenditure on major equipment by 2024. We have been clear on the need for increased
defence spending in the Alliance to meet the challenge of an evolving and complex
security environment.</p><p>We welcome German increases in defence spending and continue
to engage them on their progress towards meeting the Pledge. The Foreign Secretary,
Defence Secretary and Chancellor of the Exchequer regularly raise defence spending
with their German counterparts. We also continue to push the case for increased defence
spending at NATO meetings, such as the recent Defence Minister's meeting in February.</p>
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