"BY no means is this done and dusted. The fight for Search and Rescue cover at Chivenor will go on."

North Devon MP Nick Harvey has pledged to continue the battle for 24-hour rescue cover at Chivenor, after the Government appointed their "preferred bidder."

He said: "All this means is that they will now begin detailed negotiations, which won't be entered into lightly as this is a £6 billion deal that will last 30 years, so it's not something that will be sorted out quickly."

He said it was unlikely to be before the General Election, expected in May, and in his position as Lib Dem defence spokesman, his party would want a complete review of the contract after the election.

Conservative spokesman Gerald Howarth said the proposed PFI (Private Finance Initiative) was "the most expensive way of paying for things.

"But what really makes me roll my eyes is that the financial player in this consortium is RBS, (Royal Bank of Scotland), which belongs to the Government and the taxpayer," he said.

"So instead of lending the money for this at a discounted rate through the Treasury, they are looking at a far more expensive way of doing things. It's the economics of the madhouse."

Conservative Shadow defence Secretary Dr Liam Fox said the Royal Navy, Royal Air Force and Coast Guard had built a "phenomenal reputation" for saving lives at sea.

"The future provision of quality SAR services is uppermost in our minds, regardless of how the service is provided," he said.

Tory aviation and shipping spokesman Julian Brazier been given a full briefing on the proposals by the Maritime and Coastguard Agency and has visited Coastguard operations, the RNLI and held discussions with other interested parties to ensure future provision of SAR services did not in any way compromise safety.