NAVY FIRST

New Zealand Herald, Volume LXXV, Issue 23215, 8 December 1938, Page 16

NAVY FIRST

PACIFIC DEFENCE AUSTRALIAN SCHEME FATR. FORCE EXPANSION BORROWING NECESSARY By Telegraph—Press Association —Copyright CANBERRA. Dec. 7 In the course of his speech in the House of Representatives last evening the Minister of Defence, Mr. G. A. Street, stated that the strength of the Royal Australian Air Force will be increased to 212 first-line machines with full reserves. A new air base will be established at Townsville. The extended programme also provides for the establishment of a defence base for mobile naval air forces at Port Moresby. Mr. Street made it clear that the Boul of Australia's defence preparations lay in co-ordination with the British Navy. "We look to Britain in an emergency to station at Singapore a fleet of sufficient strength to safeguard the Empire's interests in the eastern hemisphere," said the Minister. "Thero has been much loose talk about the recent crisis, to prove that this could not bo done. On the contrary, the Government has sound grounds to be reassured on this point." The Treasurer, Mr. R. C. Casey, announced that to complete the financing of the programme substantial borrowing would he necessary, including the raising of moneys on the London market. Subsequently a bill would be introduced to authorise the borrowing of on additional £10,000,000 for defence.

The details given in the above cablegram are part of - the plan previously announced to spend a total or £63,000.000 over three years on the Navy Army and Air Force, including the building at the Cockatoo Dockyard, "Sydney, of two 1850-ton destroyers and 12 motor torpedo-boats.