London, Dec 11: Prime Minister Tony Blair's government today signaled major changes in the structure of Britain's armed forces to make them more flexible and better equipped for the war on terror. Defence Secretary Geoff Hoon said it was vital "we have the right kind, shape, nature of armed forces to deal with the new strategic environment in which we operate."

Speaking before today's publication of the government's defence white paper, Hoon said Britain's defence expenditure was rising. According to the Ministry of Defense, spending will increase 1.2 per cent per year in real terms between 2002-2003 and 2005-2006 The white paper, a statement of government strategy, is widely expected to propose changes to create more flexible and agile forces.

Britain's military Chief, Gen Michael Walker, said Tuesday Britain needed troops that could be deployed rapidly across the world. He said the changes would enable the country to mount "limited national operations" on its own or take the lead in small to medium-scale operations at the head of an international coalition.

Bureau Report