CONDIGNEMAL
7. At the same time the Government was determined that the process
of adjustment should safeguard the essential security interests of
Britain and her Allies. It was clear that only a fundamental and
rigorous reappraisal of all Britain's defence commitments and
capabilities could provide the Government with the necessary
information to enable it to strike the right balance between the
needs of the economy and the needs of defence.
Conduct of the Review
3. The Review covered the whole of the forward period to 1983-84,
to make possible an orderly adjustment of our defence structure to
meet a different set of commitments and capabilities, and to allow
for full military, financial, manpower, equipment and industrial
planning.
9.
Europe,
Clear strategic priorities were established at the outset;
but no arbitrary financial limit was set, which would have
prejudiced the outcome of the analysis. Instead, the military,
political, economic and industrial implications of different
resource allocations were carefully considered. Within NATO, the
threat to the political and military security of Western
including the military imbalance between the Alliance and the Warsaw
Pact (see figs. 2 and 3), was taken fully into account in assessing
the possible effect of any reductions in Britain's contribution upon
the security of our Allies and upon the allied strategy of
deterrence. Similarly the political and military implications of
reductions outside NATO were fully considered.
10.
On 3 December 1974 Parliament was informed of the Government's
provisional conclusions and proposals for future defence policy,
programmes and expenditure, as a basis for full consultations with
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CONFIDENTIAL