EU seeks £58 billion from UK, Canada, and Japan to close Ukraine gap

European Union leaders plan to ask Britain, Canada, and Japan for increased financial support for Ukraine at an upcoming summit in Brussels. The request follows a failure to secure additional pledges from these G7 nations during recent international meetings, according to Brussels officials.

Ukraine projects a €70 billion ($58 billion) funding deficit in 2027 for defense and civilian needs. The European Commission states that the EU currently covers 80% of these costs. Commission President Ursula von der Leyen has defined a fair EU share as two-thirds of the total, arguing that remaining allies should cover the rest. She told reporters last week, "We will continue to lead, but we urgently need other partners to step up."

Prime Minister Andy Burnham will meet with von der Leyen and European Council President António Costa at an EU-UK summit on November 20. Von der Leyen will also press Canadian Prime Minister Mark Carney for aid at an EU-Canada summit in Montreal the following week. The timing pressures the British government, which is preparing its first budget under Chancellor John Healey. Healey faces rising borrowing costs and a weakening economic outlook while weighing calls for increased spending.

Healey stated in October that the UK is "working on different ways we can step up support for Ukraine: military, diplomatic and economic." The British government has committed £25 billion to Ukraine, including £16 billion in military aid. The Kiel Institute ranks the UK as the fourth largest donor behind the US, Germany, and France. However, the UK's contribution equals 0.86% of national income, compared to 1.1% for France and 1.5% for Germany. Denmark contributes 4.2% and Estonia 3.8% of national income.

The EU agreed to a €90 billion loan for Ukraine last year to cover two-thirds of funding needs in 2026 and 2027. Rising costs from Russia's attacks have strained this plan. EU officials are now considering additional aid from Switzerland, South Korea, Australia, and New Zealand if the G7 members do not meet the target.

The November 20 summit will also address three trade agreements: a food and animal health deal, linked emissions trading schemes, and a youth mobility scheme for those aged 18 to 30. The European Commission proposed delaying a dispute over university tuition fees to technical talks within six months. The UK wants to charge EU students international rates, roughly four times the domestic fee, while the EU seeks a return to pre-Brexit home rates. One EU diplomat noted, "The three elements are a sort of gift to the UK, but not a massive gift." A second diplomat added that no clear majority among the 27 member states supports postponing the fee issue.

The youth mobility agreement is the final major sticking point. EU sources believe they retain leverage because the food and emissions deals will not take effect until a mutually acceptable youth mobility agreement is reached. This structure allows the EU to hold the trade benefits until the fee dispute is resolved.