Aust. forces not weakened—Minister

Press, 7 July 1983, Page 11

Aust. forces not weakened—Minister

NZPA Canberra The Australian Defence Minister, Mr Gordon Scholes, yesterday rejected assertions that the defence forces were being seriously weakened by savage spending cuts and he predicted a small increase in defence spending in the Budget, due next month. While accepting that there had been a;“long rundown” in defence equipment, largely because of enormous cost increases and late ordering, Mr Scholes said that he did not believe the situation was “anywhere near as bad as it is portrayed.” ’ He was commenting on a review of Australia’s defence forces in this week’s “Bulletin” magazine. The report says that senior defence officials have questioned whether the forces have been weakened beyond the point where they

can still deter aggression against Australia or expand to defend the nation from attack.

Mr Scholes said that he knew of no cuts in defence spending for 1983-84. (The previous defence vote was sAust4 billion). “In fact I think there will be a small increase in the defence budget in real terms. The increase is necessary in order to meet our outstanding commitments, especially in our equipment programme.” He said that the Defence Department expected to spend about sAust2oo million more this financial year to cover new equipment already on order.

“Some real increase in defence expenditure is essentia! to meet that added cost,” he said. The “Bulletin” report says that financial stringencies have reduced manpower and stores, including spare

parts and ammunition. It quotes the Chief of the Defence Force Staff, Air Marshal Sir Neville McNamara, as saying that the shortages of men, equipment and materiel were limiting operational capabilities.

If the defence budget was cut further he could not guarantee that the Armed Forces would be able to maintain their present capability, he said. Mr Scholes defended the Federal Government’s defence policy, saying: “I believe the current defence planning is adequate, given our economic stringencies and the fact that Australian tax-payers want more money spent on defence while they want to pay less tax.

“Given time, we will have a capability to discourage any likely aggressor from taking any significant action against Australia,” he said.