No more defence cuts, says David Cameron George Osborne, the Chancellor, is preparing a spending review for 2015-16 that has raised the prospect of more cuts in the Ministry of Defence budget, on top of those made by the Strategic Defence and Security Review in 2010. The SDSR made defence cuts of around eight per cent to be implemented between 2010 and 2015, which left Britain without a working aircraft carrier and meant the loss of 30,000 Armed Forces posts. When the Prime Minister announced the defence cuts in 2010, he conceded that the Armed Forces would only be viable if defence spending rose again after 2015. At the time, he told MPs: "My own strong view is that this structure will require year on year real-terms growth in the defence budget in the years beyond 2015." Speaking in Algiers last night, a senior government source close to Mr Cameron insisted that the Prime Minister will honour the pledge he made to increase defence spending from 2015. Asked if Mr Cameron was committed to real-terms rises in defence spending after 2015, the source said he was. He said: "The Prime Minister does not resile from anything he has said about defence." The comment could lead to tensions between No 10 and the Treasury, where officials have been pressing for a new squeeze on the defence budget. Mr Osborne last year demanded fresh cuts in defence spending in 2013 and 2014, and last week told ministers including Philip Hammond, the Defence Secretary, that more cuts are likely in the spending review. Mr Hammond has vowed to "vigorously make the case for funding" in the spending review, and Mr Cameron's new promise will be seen as a major boost in his battle with the Treasury. Mr Hammond will today claim to have balanced the budget for defence equipment over the ten years to 2022, outlining plans to spend almost £160 billion on new vehicles and kit. The programme includes £35.8 billion for submarines, including a replacement for the Trident nuclear system; £18.5 billion on warplanes and drones; and £17.4 billion for surface ships, including new aircraft carriers. Another £8 billion has been left unallocated to cover the risks of cost over-runs. The programme means that "for the first time in a generation the Armed Forces will have a sustainable equipment plan," Mr Hammond said. In a review of Mr Hammond's plans, the National Audit Office found that the MoD has taken "significant positive steps" towards closing the gap in its finances and laying the foundations for a stable budget. However, the auditors raised concerns that the £8 billion reserve fund could soon be used up, meaning further cost over-runs would start to eat into "core" projects. Margaret Hodge, the chairman of the Commons public accounts committee, said that the MoD was "still taking an over-optimistic view to putting a price on risk and uncertainty." Mr Cameron's intervention came after he increased Britain's military commitments in north and west Africa as part of what he has called a "generational" battle against Islamic extremists. After arriving in Algiers yesterday afternoon, Mr Cameron held talks with Abdelaziz Bouteflika, Algeria's president, and Abdelmalek Sellal, the country's prime minister. Sir Kim Darroch, the Government's national security adviser, and Sir John Sawers, the head of MI6, are accompanying Mr Cameron. The talks are understood to have included discussions over whether British special forces can support Algerian forces in combating al-Qaeda, along with other elements of security cooperation. The Algerian authorities have been asked to participate in a joint contingency planning exercise and to discuss sharing best practice on crisis response and resilience planning after at least 37 expatriate workers, including six Britons, were killed during the hostage crisis in southern Algeria earlier this month.