Army wins, Air Force loses in defence spending

2:30 PM

The Army has won out while the Air Force is the big loser in the Government defence spending announced today.

Defence Minister Mark Burton has confirmed the Air Force's request for the Orion upgrade has been turned down. He says the upgrade would have cost $550 million.

However, he says the Army will be getting 105 Canadian-built armoured vehicles over the next four years, at a total cost of $611 million.

More than 1800 radios will be purchased for the Army and Air Force over the next two years, costing $124 million.

Army Chief, Major General Maurice Dodson says the Government's decision to buy vehicles and radios will redress the two most urgent deficiencies in the army's capabilities, as the existing equipment has virtually become obsolete.

He says the new gear will enhance The Army's international reputation and make a big difference to the ability of army personnel to perform their roles.

Mr Burton also confirmed the Hobsonville air base in north-west Auckland, home to the Number 3 squadron of Iroquois helicopters, will be closed down.

Air Force spokesman Squadron Leader Ric Cullinane says they are not concerned at having to move out of Hobsonville as the base's closure fits in with their plans.

He says consolidating its real estate is something the Air Force has been looking forward to for a long time.

The Iroquois will move to Ohakea.

- IRN

Orions snubbed as Army gets vehicles

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