400million Scottish government underspend

Reynard · January 10, 2015

Yep. Send me a link that I need to subscribe to in order to read. I wonder if you even bothered to read it yourself now.

Ukraine's showdown with Moscow deepened as Russian President Vladimir Putin lashed out at Kiev and its allies Friday while sidestepping allegations that his troops are pushing deeper into Ukraine's territory to aid separatist rebels.

Hopes for a diplomatic solution, already waning, dimmed further as Mr. Putin accused Ukraine and its Western supporters of backing peace talks only as a smoke screen to continue Kiev's attacks against fighters in the eastern part of the country.

European leaders looked set to order new sanctions against Russia this weekend, and Ukraine's government proposed repealing a law banning membership in military blocs and moving toward joining the North Atlantic Treaty Organization, which Russia considers a threat to its interests.

The escalating crisis underlines a key issue facing NATO allies gathering next week for a two-day summit: Will Russian aggression prompt alliance members to pay more for defense?

"If a nation relies on the alliance as a bit of a whole-life insurance policy for security," said Douglas Lute, U.S. ambassador to NATO, "you have to pay the premiums of that life insurance."

Americans have long complained about footing the bill to defend European allies. The U.S. accounts for about 73% of the roughly $1 trillion in total military spending by NATO countries each year. U.S. officials want a commitment from other countries to contribute more, given the renewed threat from Russia.

On Friday, Mr. Putin didn't specifically address assertions from Kiev and NATO about Russia funneling troops and materiel into Ukraine, which other Russian officials denied. A senior NATO official said Thursday that more than 1,000 Russian troops were fighting in Ukraine. Mr. Putin said only that border violations by troops have happened on both sides and are a technical matter.

He blasted the West for allowing Kiev to continue its military offensive, saying, "the Ukrainian authorities must be forced to substantively start talks" with separatists on greater autonomy.

NATO Secretary-General Anders Fogh Rasmussen on Friday condemned this "serious escalation" and rejected what he called Moscow's "hollow denials."

EU leaders said they would consider new sanctions at a meeting Saturday in Brussels as support in the bloc built for action. European Commission President José Manuel Barroso spoke with Mr. Putin on Friday. "President Barroso urged President Putin to revert the current path, stressing that it is difficult to continue to argue for engagement when confronted with the recurrent escalation of the conflict," the EU said in a statement.

Also Friday, Ukraine opened discussions on joining NATO by proposing to repeal a law that bans membership in military blocs. NATO said it would respect any decision by Ukraine, but any potential membership in the bloc would likely take years.

Is Russia likely to change its approach in Ukraine in the face of warnings from President Obama? Freedom House President David Kramer joins Simon Constable on the News Hub to discuss. Photo: Getty

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The NATO gathering next Thursday and Friday in Wales will draw President Barack Obama and 27 allied leaders to weigh strategies for Ukraine, Afghanistan and other trouble spots. The final session is aimed at agreement for more military spending. Exactly what it will require of allied countries is likely to be the meeting's hardest-fought battle, a senior NATO diplomat said.

This summit was going to be crucial even before Russia's conflict with Ukraine this year. Founded in 1949, the alliance spent 40 years countering the threat of Soviet tanks rolling into Western Europe. Since the Cold War ended, NATO has been embroiled in missions in the Balkans and Afghanistan. Last year, with its Afghan role winding down, and Russia seemingly a friend, NATO was seeking to redefine its purpose. Mr. Putin quashed any further soul searching. The summit is now likely to launch a third phase for NATO, a pivot back to defending Europe, completing Russia's transformation from a partner to a potential adversary.

"This is one of the four or five most critical moments in the history of the alliance," said Nicholas Burns, U.S. ambassador to NATO from 2001 to 2005. "Putin has redivided Europe."

Western military leaders were taken aback when Russia fielded a large military force within 72 hours and used it to invade Crimea. By contrast, the NATO Response Force—used once, after a 2005 earthquake in Pakistan—can take as long as 30 days to deploy. "There is pretty wide acceptance that this is no longer adequate," a senior Western diplomat said.

NATO leaders plan to approve creation of a faster response force at the summit. The alliance also plans to station a permanent command unit in an eastern location, possibly in Szczecin, Poland. NATO countries are expected to conduct military exercises in areas near Russia. The idea is the next time Moscow masses an invasion force of 40,000 troops, NATO will be ready.

"A force crossed an internationally recognized boundary and annexed a portion of a sovereign nation by force," U.S. Gen. Philip Breedlove, NATO's top military commander, said in an interview. "We need to be able to respond to that in the future."

Poland and other allies near Russia want new NATO bases on their territories. But most NATO members see an improved "readiness action plan" as a less aggressive, more flexible option.

Russian President Vladimir Putin praised pro-Russian separatists in Ukraine on Friday as Ukrainian President Petro Poroshenko dispatched troops to meet the Russian-backed advance. U.S. President Barack Obama ruled out a military response but hinted at sanctions.

A firm response to Russia will cost more money, a sensitive topic for many countries. NATO's 28 allied countries agree to spend at least 2% of their GDP on defense. But only the U.S., U.K., Estonia and Greece do. Since the Ukraine crisis, seven more countries have committed to that benchmark, although it will take several years for some to reach it.

NATO funds only a few items jointly as an alliance—such as the Brussels headquarters and handful of agencies and command centers—at a cost of roughly $3 billion a year. The U.S. is concerned with how much the 28 countries spend on their overall defense, since that reflects the burden each is carrying for defending the alliance and its interests.

Europeans have for years said their frugality stemmed from struggling economies and a peaceful regional landscape. But now, their economies are better and security worse, giving the U.S. an opening to press its case.

"Europe has a lot of work to do to police its own backyard," said Rep. Jim Cooper (D., Tenn.), a senior member of the House Armed Services Committee. "It's easy to shirk responsibility when you can turn over all the world's problems to the world's only superpower, the U.S."

But, Mr. Cooper added, "I was struck by how many ambassadors from NATO countries were apologetic" about paltry military spending during a recent meeting in Washington. "The Ukraine incursion has scared just about every European nation."

Russia has increased military spending by 50% over the past five years, while NATO allies have cut theirs by 20% over the same time. "Obviously, this is not a sustainable situation," Secretary-General Rasmussen said.

U.S. officials cite Germany, the second-biggest contributor to NATO in total dollars, as an example. As Europe's economic and political powerhouse, Germany spent 1.3% of its GDP on defense in 2013, compared with a U.S. contribution of 4.4%.

"It's the second largest country by population, by size of the economy, in the alliance," Mr. Burns said. "And, geographically, because of where it is, it is the keystone country in the alliance. Germany needs to rise to the occasion."

German officials say their military spending is efficiently targeted in such areas as research and equipment. "It is not only a question of how much money we spend, I'm talking of the 2% of GDP, but it's also how we spend the money," defense minister Ursula von der Leyen said during a recent speech in Washington, D.C.

German leaders say their nation's growing GDP shouldn't obligate the country to a continually expanding defense budget. "It's kind of absurd to link this to the 2%," Ms. von der Leyen said.Public opinion in Europe is generally less friendly to military spending than in the U.S.

—Gregory L. White, Laurence Norman and Anton Troianovski contributed to this article.

Reynard · January 10, 2015