Trump says he is reviewing US position on Falkland Islands

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President Donald Trump said he was reviewing the United States’ position on the British sovereignty over the Falkland islands, in a move that will raise alarm for Labour ministers.

It follows reports last week that the US administration was prepared to oppose British rule of the overseas territory as an incentive to encourage Andy Burnham to increase defence spending,

The islands are administered by the UK but are claimed by Argentina, whose president is an ally of Mr Trump.

“I always review every ⁠position,” Mr Trump told reporters on Monday, when asked about the islands’ sovereignty. “That’s just one of many,” he added.

A senior US official told The Telegraph that Pentagon officials were understood to be reviewing the commitments of Nato allies in a bid to ensure they commit 5 per cent to defence spending, with the UK to get “special attention” under the assessment.

They said that changing America’s stance on the UK’s claim to the Falklands was a possibility in incentivising the government.

Mr Trump’s comments from the Oval Office on Monday were his first publicly on the matter.

Shortly after, in a published interview with The Times, chancellor John Healey inisited he was “100 per cent” committed to delivering a defence spending target of 3 per cent of GDP, adding he would set out the plan at the spring review.

U.S. President Donald Trump spoke for the first time publicaly on the Falkland Islands (Getty)

Mr Healey, who also told The Times he had not heard the suggestion the US could side with Argentina on the islands’ sovereignty, said: “The Falkland Islands are British. The Falkland Islands will remain British as long as the Falkland Islands want that to happen.”

Also in response to the report in The Telegraph, over the weekend the UK government reiterated its position by asserting its “long-standing and unwavering” commitment to ensure the islands remain a British Overseas Territory in line with the wishes of the Falkland islanders.

A spokesperson said: “The UK is playing a central role in Nato and strengthening collective defence across Europe. We are Nato’s third largest cash spender on defence and the only European NATO member to commit our nuclear deterrent to the alliance.”

Andy Burnham faces pressure from Mr Trump over defence spending (PA Wire)

That report followed an earlier threat made in April, when a leaked internal Pentagon email suggested that the US could review Britain’s claim to the Falklands in retaliation for a lack of support in the Iran war.

Tensions have been building between Mr Trump and Europe for months as he has hit out at several countries for not pulling their weight in contributing to Nato and in supporting US military action against Iran.

Throughout the conflict Trump has alternately threatened to pull troops from Europe and to have the US quit the Nato alliance.