THERE are fears of further job losses today following the government’s strategic defence review.

The Prime Minister announced yesterday that 25,000 civilian MoD jobs would be cut by 2015, the Ark Royal and Harrier jets are to be scrapped and all armed forces will see their numbers reduced by 2015.

The cuts are set to put increased pressure on private firms operating in the defence field in Weymouth and elsewhere in Dorset.

It is believed that the massive cuts will have a knock-on effect on local businesses as Ministry of Defence contracts are scaled back or axed.

Coinciding with the government’s review, sources have confirmed that 12 employees at MSI Defence Systems Ltd in Cambridge Road on Weymouth’s Granby Industrial Estate have been told the firm is closing and they may have to relocate to the company’s Norwich headquarters.

An insider at the company, who asked not to be named, said staff at the site were trying to avoid making the move if possible.

Martech Systems in Albany Road, Weymouth, was locked out of its building by landlord Mickey Jones after it failed to pay its rent.

Mr Jones said: “I had locked Martech out last week but they are now back in the building again.

“Martech had trading issues like many other businesses and owed DJ Properties money. That was why we temporarily locked them out of their site, it’s one of the landlord’s rights.

“The fact that the firm is now addressing this and has not gone into administration is a very positive thing.”

The temporary closure of the site followed an announcement by the US-owned firm that it would be laying off between eight and 10 members of staff. Martech managing director Paul Baxter admitted that the defence review could have a major effect on the company.

He said: “Martech has had a very challenging year, but we have pared back recently to be in better shape for the future.

“At the moment our order book, which includes manufacturing of control systems for one of BAE’s military vehicles and development of ground support equipment for fighter aircraft, looks relatively good.

“However, with around 60 per cent of our business coming from the defence and aerospace industry, we are of course very concerned how the Strategic Defence Review might affect us in the longer term.

“Traditionally, a lot of our business has come from UK-based defence primes, but on projects destined for the USA and other nations, and we very much hope that these income streams will continue.

“Alongside our defence activities, we also have customers in offshore oil and gas, marine, nuclear power and other non-defence industries and will be actively developing these markets in 2011.”

The government review also follows the closure of Granby-based firm Babcock Integrated Tech- nology, which closed its doors earlier with the loss of 22 jobs.

Park Manufacturing, also based on the Granby Industrial Estate, which has also previously benefited from MoD contracts has had to call in administrators.

MSI declined to comment.