US:George Bush's plans to establish a European missile defence system suffered a setback yesterday when a Congressional committee slashed funding for the project.
The House appropriations committee cut $139 million (€101 million) from the $310 million the Bush administration wants for preparatory work on the missile project in Europe.
It approved funds for a radar system in the Czech Republic but cut the $139 million Mr Bush requested to establish a missile interception system in Poland, the most controversial part of the defence system.
In addition, the committee cut a further $159 million from US-based parts of the missile plan.
John Murtha, chairman of the committee, said the Bush administration has "got to convince us this is worthwhile".
In a report attached to the revised budget, the committee said: "It is premature to provide full funding for the European component, given the uncertainty surrounding the programme".
The Congressional move came as Des Browne, the British defence secretary, said on Wednesday that the UK had agreed to allow the US to upgrade the Menwith Hill airbase in Yorkshire as part of the proposed missile defence system. Britain has already approved a radar system at Fylingdales on the North York Moors.
Mr Bush wants to place 10 interceptor missiles in silos in Poland, saying they are needed as a matter of urgency to defend against Iran, which the US claims is pushing ahead with a nuclear weapons programme. The budget cuts are part of $3.5 billion that the committee has slashed from the overall defence budget, which now stands at $459 billion.
As well as reducing the budget, Congress is shifting priorities from futuristic programmes to more immediate concerns, such as improved healthcare for soldiers returning from Iraq and Afghanistan, pay rises for soldiers and marines, and much-needed weaponry for Iraq, such as the heavily-armoured Stryker vehicles.
The committee's pared-down budget will go to the full House for a vote next week but is almost certain to be passed. Republicans on the committee joined the Democrats in voting for the Bill.
Mr Murtha said Congress was trying to change the direction of the defence department across the board, not just on missile defence.
Russian president Vladimir Putin ordered a Kremlin meeting of senior military and intelligence officers on Wednesday to build up the armed forces and intelligence gathering to confront what he said was a new US global threat.
"The United States is becoming more active in pushing forward plans to deploy new bases in Eastern Europe," he said.
Mr Putin rejects US claims that the missile system is directed not against Russia but a possible attack from Iran.
A separate vote on Iraq withdrawal is scheduled for September.