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Keir Starmer is on his feet at the dispatch box and PMQs is under way.

You can watch live at the top of this page.

Keir Starmer announced his resignation as Labour leader and prime minister on 22 June.

He asked Labour's ruling body for the nomination process to replace him to open on Thursday 9 July, and close by the summer recess of Parliament, which is Thursday 16 July.

If – as seems likely – there is only one nominee, there will be no leadership contest. Andy Burnham is then expected to be announced as the new Labour leader on Friday 17 July, before being appointed prime minister on Monday, 20 July.

Prime Minister’s Questions are always held on Wednesdays, meaning that – including today – Starmer could have only three sessions left.

However, next Wednesday is day two of a Nato summit in Turkey, meaning Starmer could be absent. That means today could be his penultimate PMQs as prime minister.

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Keir Starmer has left Downing Street and is on his way to the House of Commons for PMQs.

Kate Whannel
Political reporter

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Chancellor Rachel Reeves set out how (some) of the increased defence spending will be paid for.

She says funding for £10.3bn of the £15bn boost has been identified, but interestingly £4.7bn will not be set out until this year's Budget, expected in the autumn.

That means finding the extra money will be a question for Prime Minister Keir Starmer's replacement - potentially Andy Burnham.

Here are some of the areas Reeves says she has been able to find more money:

• Cutting departments' capital budgets (that’s money for long-term investments, rather than day-to-day spending) by 1%
• Scrapping some road projects - including potentially cancelling the A38 Derby junctions and the A46 Newark Bypass schemes - to save £700m
• Selling off some Ministry of Defence assets for £400m
• £2bn from the Department for Energy Security and Net Zero (more detailed plans are expected in the autumn)
• Moving responsibility for some activities from defence to the Treasury, freeing up £2.4bn

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• Andy Burnham - who will most likely be the next prime minister - outlined a broad vision for how he would govern, including basing part of the No 10 team in Manchester to "oversee the biggest rebalancing of power our country has ever seen"
• In her own speech on Monday, Conservative leader Kemi Badenoch warned "the government is descending into chaos", and called for Burnham to put an end to speculation and announce his plans in Parliament before it breaks for the summer

• Resident doctors in England voted to accept the government's offer on pay and jobs bringing an end to three years of strikes

• The Home Secretary Shabana Mahmood announced plans that would see asylum seekers made to pay up to £10,000 towards the cost of their accommodation and support once they start earning
• Reform UK leader Nigel Farage earned £270,000 for advertising gold bullion, the single biggest payment he has registered since becoming an MP, the latest data from the list of MPs' interests showed
• The government promised to act on NHS maternity failings after a damning report found women and babies were failed "on a scale that shames our society"

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The long-awaited defence investment plan laid out how much money the government will spend on Britain's armed forces, and what it will spend it on.

Ministers say it is the largest increase in defence spending since the Cold War in the 1980s.

A total of £298bn will be spent on defence over the next four years and will include spending on the nuclear deterrent and new combat aircraft.

There is a shift in the plans from big-ticket items such as destroyers to large numbers of much cheaper and expendable weapons.

This includes plans to create a "hybrid Navy" that uses aircraft, drones, warships and submarines and funding for the next-generation of RAF stealth jets.

Our defence correspondent Frank Gardner has all the detail here.

Starmer's defence plan leaves crunching trade‑offs for Burnham to confrontpublished at 11:04 BST 1 July

11:04 BST 1 July

Chris Mason
Political editor

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If, as expected, Andy Burnham becomes prime minister next month, he will inherit a £4.7bn bill to deliver the defence investment plan, or DIP - and that is before he worries about how to boost defence spending further as the next general election looms.

The numbers accompanying the much delayed plan point to a big gap that the current government anticipates the next one will need to fill this autumn.

Already, the sharp trade-offs to get the DIP out of the door have provoked a backlash, including from a serving minister.

Hamish Falconer went public about his frustration at the uncertainty that now swirls around a road widening project for the A46 Newark bypass near his constituency of Lincoln.

Finding the thick edge of another £5bn from existing budgets could prompt plenty more backbench gnashing of teeth.

Starmer was keeping a promise to have the DIP published before the Nato summit in Ankara in Turkey next week, his last scheduled set-piece foreign event as prime minister.

But in getting a deal his new Defence Secretary Dan Jarvis was willing to put his name to he has also spared Burnham from having to front up its publication himself, potentially in just a few weeks' time.

While Burnham has not commented on the DIP, Defence Minister Luke Pollard told the BBC there had been "regular talks between Downing Street and Andy's team about the defence investment plan"

• Read more from Chris Mason's analysis here

Yesterday, the government published the UK's long-delayed defence investment plan. Here are the key figures:

• £15bn: The increase in military spending over the next four years announced by Starmer yesterday, funded by cutting investment budgets in other areas
• £10.3bn: The savings identified to meet the £15bn bill
• £4.7bn: The amount that will need to be found by the PM's successor in the next Budget to make up the £15bn cost
• £28bn: The increase in military spending that had reportedly been sought by defence chiefs
• £298bn: The total amount earmarked in the DIP for defence over the next four years
• 2.7%: Projected UK defence spending by 2030, as a proportion of GDP - according to the DIP

• 3.5%: Nato's defence spending target by 2035, as a proportion of GDP

Read more on the figures in BBC Verify's analysis here.

In last week’s session – the first since Starmer announced his resignation – Badenoch pressed Starmer on defence spending, after the resignation earlier in June of his Defence Secretary, John Healey.

She then turned on his top team – including Chancellor Rachel Reeves and Education Secretary Bridget Phillipson.

Today, Badenoch could focus on defence spending again. Yesterday, Starmer announced an extra £15bn for the military over the next four years as the government unveiled its defence investment plan.

The extra money is more than the £13.5bn secured by Healey before his resignation – but less than the additional reportedly £28bn sought by defence chiefs.

And only £10.3bn of the savings required to fund the £15bn has actually been identified. The remaining £4.7bn will have to be found at the next Budget - by the next prime minister and their team.

That's likely to be Andy Burnham. On Monday, he gave a speech promising to "rewire" the British state, with a new "No 10 North" based in Manchester.

The purpose of PMQs is to question the current prime minister, not the next one – but could Badenoch try to land an early blow on her likely next opponent?

Image source, Reuters

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Good morning and welcome to our live coverage of Prime Minister's Questions.

With Keir Starmer on his way out – he could be replaced as prime minister as soon as 20 July – Conservative leader Kemi Badenoch could have just two or three more sessions to grill the current PM.

Will she focus on defence spending, after Starmer announced extra funding for the military yesterday?

Will she turn on his top team, as she did last week?

Or could she even turn her attention to the new MP for Makerfield, and likely next prime minister, Andy Burnham?

We’ll have all the build-up, key lines, and analysis on this page – and you can watch PMQs live from 12:00 BST above.