Minister warns of 'tough choices' on defence spending

Some military projects are likely to be cut or cancelled because of financial pressures, the defence secretary has suggested.

John Healey told BBC Radio 4's Today programme the government would make "tough choices", including on defence.

He said they needed to "get a grip of the public finances", which he said were in a "far worse" state than anyone thought before the election.

Labour says it has inherited a £22bn "black hole" in the public finances from the Conservatives, claiming the previous government covered up overspending.

However, the Tories dispute this, arguing they have been open about the country's finances and left Labour with a growing economy.

They have accused Labour of laying the ground for tax rises in October's Budget.

Asked whether big defence projects would be cancelled in the coming months, Mr Healey said: "Across government we’re now all dealing with public finances this year that are far worse than we or anyone else thought before the election.

"This is probably the worst inheritance of any government in living memory so that’s why both the prime minister and chancellor have talked about tough choices which we will make."

Pressed on whether these choices would include defence projects, he said: "Including on defence… we have to get a grip of the public finances, we have to see growth back in the economy, and that’s the way that we can rebuild both the wealth of this country as well as the public services."

He added: "We will do our part to help this government deal with the deficit this year and the dreadful state of the public finances."

Labour has said it is committed to increasing spending on defence to 2.5% of national income when economic conditions allow.

The new government has launched a review of the current state of the UK armed forces and the capabilities needed to address the threats the country faces.

It says the review will set out a "roadmap" for reaching the 2.5% spending figure.

However, the Conservatives have criticised the government for not matching the party's election pledge to reach 2.5% by 2030.

Military chiefs have called on the government to spend more on defence, with the West facing growing threats from countries like Russia, China and Iran.