SECRET
J
Sir Duncan Watson
DEFENCE REVIEW
1. Your minute of 2 April to me crossed with two communications on this subject which I hope will sufficiently answer the questions raised in your minute.
He
2. You will have seen from Mr Cormack's minute covering a brief for the Secretary of State at OPD tomorrow that the Permanent Secretaries have improved the guidelines for the Defence Review and that the Secretary of State is advised to agree to them. is also advised to take a strong line on consultation with our friends and allies. I have now heard that Mr Hattersley agrees with the brief.
3. The second communication is a minute (copy attached) which I have sent to the Heads of Departments invited to attend my meeting tomorrow to discuss a paper covering the implications of reductions or cuts in all our defence commitments outside NATO. I believe that this meeting and the subsequent paper will be the best way of letting Departments know where we stand in relation to the Defence Review and of collecting and collating the various Departmental considerations.
3 April 1974
Copies to: Sir J Killick
Mr Wilford
Mr Campbell
Mr Wiggin
Mr Youde
Mr Larmour
Mr Champion Mr Stuart✔ Mr Cox
Mr Preston Mr Nicholas
Withomon
J A Thomson
SECRET