Rishi Sunak has warned the world faces a "dangerous moment" as he urged European allies to ramp up defence spending.

The Prime Minister announced yesterday that he was putting Britain’s defence industry on a “war footing” as he committed to hiking spending on defence to 2.5% of national output by 2030. The UK will put pressure on NATO allies to match the commitment, rising from the current 2% target. Only 11 members of the alliance met that goal in 2023.

At a joint press conference with German Chancellor Olaf Scholz in Berlin, the Prime Minister said: "At this dangerous moment, the bond between our two nations is stronger than ever. We meet as a war rages on our continent and new threats are rising around the world."

He congratulated Mr Scholz on his leadership and taking the "historic decision" to increase Germany's defence spending, which means it will meet the 2% target. "We stand here today together as the leading defence spenders in Europe," he added.

Mr Sunak said it was "entirely reasonable" for the United States to call for European leaders to spend more on defence after frequent complaints from Donald Trump.

Asked if he was convinced of the Republican presidential candidate's commitment to NATO, Mr Sunak said: "We cannot expect Americans to pay any price, to take any burden if we in Europe are not ourselves prepared to make those sacrifices and make those investments."

The PM said it was important for Europe to demonstrate commitment to keep the US committed to the alliance.

Pressed on whether the plan would mean cuts in other areas of public spending, Mr Sunak said: "We are making a choice to prioritise defence with both of those decisions and I believe that's the right thing to do because whether we like it or not the world is more dangerous now than at any moment since the Cold War and it falls on leaders whether that's Olaf, whether that's me to do what's necessary to keep our continent safe and stand up for our values."

Earlier, Defence Secretary Grant Shapps said the PM would use the NATO summit in Washington DC in July to press for other leaders to hit the 2.5% target. He told Sky News: “We think in a more dangerous world that would make sense.”

It comes as Mr Sunak made his first visit to Berlin in 18 months as Prime Minister. The leaders also announced plans for a joint effort to develop remote-controlled artillery guns for armoured vehicles. The joint programme will develop Remote-Controlled Howitzer 155mm Wheeled Artillery Systems for future ground warfare.