BRENDAN NICHOLSON
DEFENCE spending will be sliced by more than $4 billion in Tuesday's budget, doubling the $2bn in cuts announced yesterday, as the Gillard government confirmed no department would be spared in the drive to deliver its promised budget surplus.
The opposition ridiculed Julia Gillard's move to find savings through deferrals of spending, including a two-year postponement of the purchase of new Joint Strike Fighters, as a fresh attempt to "cook the books" and a "death gurgle from a dying government" that was feigning economic responsibility while retaining an addiction to spending.
The Prime Minister and Defence Minister Stephen Smith confirmed they would delay the purchase of 12 multi-role Joint Strike Fighters for the RAAF by two years, which would save $1.6bn in the short term.
Abandoning plans to buy several giant self-propelled guns for the army would save $600 million. Mr Smith also confirmed there would be more defence cuts to come in the budget.
However, the government will now spend $214m on a series of detailed international studies to choose a new submarine to replace the navy's struggling fleet of six Collins-class boats.
That project could cost $40bn depending on what model is chosen.
Ms Gillard also announced that the government had commissioned a new defence white paper to be delivered in the first half of next year, a year ahead of schedule.
Read the full story at The Australian