Liam Fox: 'Real money' going to armed forces

An influential committee of MPs is warning that cuts to the armed forces may leave them unable to deliver what is asked of them after 2015.

In a toughly worded report, the Defence Select Committee says it rejects the prime minister's assurance that the UK retains a "full spectrum" defence capability.

It also warns that without firm commitments to improved funding in the very near future, politicians risk "failing" the country's military.

However, Defence Secretary Liam Fox says he believes ''real money'' is being spent on the armed forces.