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The government has announced plans to increase the spending on fending off cyber attacks despite reducing traditional defence spending elsewhere.
The Prime Minister David Cameron talked of the need to reduce spending as part of its ongoing campaign to reduce the deficit and outlined measures in the Defence Review this afternoon.
Cuts were announced to Nimrod, tanks and to civilian Ministry of Defence personnel as spending on defence is cut by 8%.
"To invest £650m in cyber security is a long term decision," he said.
Cameron said that the defence budget had to be based on current threats and one of those was cyber attacks and money would be directed to improving the protection in that area.
Indications that cyber terrorism had shot up the government's agenda became clear yesterday when the Home Secretary Teresa May set out the cyber threat in the National Security Strategy yesterday.
In response Ed Miliband, leader of the Labour party, said that they agreed over the need to fight cyber terrorism but expressed concerns that cuts to the Home Office budget that would be detailed tomorrow in the Spending Review would undermine those efforts.