Britain is set to close at least one air force base and scale back its base in Cyprus as part of defence cost cutting plans, Channel 4 television said on Friday.
Cuts amounting to hundreds of millions of pounds are due to be announced next week in an attempt to address a 6 billion pound overspend, mainly on new aircraft, submarines and ships, with more cuts on the way, Channel 4 said.
It cited a senior Ministry of Defence official as saying the department was in 'real financial trouble.'
A ministry spokesman said: 'This is speculation as no final decisions have been made. We routinely review our spending to ensure Afghanistan remains the top priority.
'Although some hard decisions will have to be made, no measures will affect the front line in Afghanistan.'
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