Cabinet relations have been left badly damaged by the protracted row over the defence investment plan (Dip), according to Whitehall sources who say the standoff has led to some of the worst infighting since Labour took power.
Ministers are putting the final touches on the plan, which is expected to be published in the coming weeks after departments agreed to cut their capital budgets by about 1% to pay for additional military spending.
Allies say Keir Starmer wants the plan to form part of his legacy should he be replaced as prime minister by the Greater Manchester mayor, Andy Burnham, in the coming weeks.
But the months-long dispute between the Ministry of Defence, the Treasury and No 10 has left senior members of the government trading accusations about each other, insiders say.
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