Cash shortage to keep navy in port

Most of the Royal Navy will be tied up in dock next year, frozen by a £15 
billion "black hole" in the MOD budget.

As the MOD fights proposals for £12 billion of defence cuts over the same 
period, only ships supporting operations in the Gulf will leave port. The 
soaring cost of operations in Iraq and Afghanistan and the increasing 
reluctance of the Treasury to fund them is adding to the pressure.

The only major exercise  expected to go ahead is Orion 08, in which the 
Illustrious, Edinburgh and Westminster will head for the Gulf.

The Navy is resigned to losing five frigates, four Type 22s and one Type 23, 
taking it down to a record low of just 20 destroyers and frigates - 
insufficient to mount a major taskforce without coalition help.

All significant projects are threatened, including the navy's two new 
carriers, which could be delayed after a campaign by the RAF to undermine 
the rationale behind their procurement and that of the Joint Combat Aircraft 
that will fly off them.