Bush to propose fighter jets cuts

President George Bush will use his new budget to propose cutting the size of the US Army Reserve to its lowest level in three decades and stripping up to €3.3bn next year from two fighter aircraft programmes, one involving British engine-maker Rolls-Royce.

The plans, likely to face opposition on Capitol Hill, come as the US Defence Department struggles to trim personnel costs and other programmes to pay for an expensive war in Iraq and a host of other pricey aircraft and hi-tech programmes. Bush will send his 2007 budget to Congress on February 6.