DECRET
Indeed we shall
try to encourage
Such mies.
British defence forces.
They are only outline
proposals, because our hands are not so tied that
we cannot take account of Alliance moves towards
rationalisation, standardisation and specielisation
in defence forces and equipment over the next 10
years
If
/Your judgement of the military or political priorities differs in any significant respect from ours,we shall be anxious to discuss matters in
detail. As for future levels of defence expenditure,
our jugement is that forces of the size envisaged
will cost us more over the next 10 years than we now
Ou spend on defence, but will bring defence expenditure as a proportion of GNP down to 41% by 1984.
Daspite
the economic arguments for much lower levels of
defence expenditure, Ministers have been prepared to
agree to this programme. I have outlined some of the
arguments which we may have to use in ensuring that
it is not misunderstood in the Alliance, and that
others do not unjustifiably seek to follow suit.
I hope we may look for support from you, both es to
the acceptability of the Bimited measures of
as ho rationalisation which we envisage, and the unique
tho
character of the economic circumstances which have
forced us to re-examine our commitments and
capabilities.
(17255) D&145178 400m 5/73 G.W.B.Ltd. Gp.863
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