The Defence Minister says Australia will limit its military spending while also addressing rising risks. 

Defence Minister Richard Marles has told reporters that an official review of the nation’s military will not result in an open cheque book to fund new weapons, despite ramping up spending in response to strategic challenges posed by China.

Mr Marles will soon receive two reports that analysts say will “define his tenure as defence minister” - the Defence Strategic Review (DSR) and a report on the AUKUS nuclear-submarine taskforce.

The final draft of the DSR, prepared by former defence minister Stephen Smith and former Defence Force chief Sir Angus Houston, is expected to recommend an increase in the purchase of missiles, drones and other long-range strike weapons. 

However, it is also expected that plans for new armoured vehicles for the army will be wound back, while other projects will have to be axed or delayed to help pay for capabilities.

Mr Marles says the government is committed to the Morrison government’s $270 billion over ten years funding envelope for new military acquisitions.

“While we are seeing the defence budget grow, it is not limitless either,” he says. 

“We’re not approaching it in that way and we are very much focused on the quality of the spend. Government can’t be an open chequebook.”

The Defence Minister has also sought to downplay the heavy cost of acquiring nuclear-powered submarines – which one estimate has put as high as $171 billion. Mr Marles points out this cost will be spread over a long time. 

“We are talking about a program here that is going to run for decades,” he said.

“Seen in the context of the defence spend we have right now, I think people will be able to understand this makes sense. It’s prudent value for money and dramatically increases our capability,” he said.

Mr Marles is travelling to Europe with Foreign Minister Penny Wong, where they will meet their British counterparts, followed by holding talks in Paris with their French counterparts. The pair will inspect Australian troops who have been deployed in a UK-led training mission for new Ukrainian army recruits. Mr Marles will also head to Washington DC for talks with US counterpart Lloyd Austin on AUKUS.