UK defence industry warns of risks from cutbacks

* Defence industry calls for government support

* Comments come ahead of election, planned defence review

By Rhys Jones

LONDON, Sept 1 (Reuters) - Budget cuts could damage Britain's armed forces and investing in the defence industry could help lead Britain out of recession, leading figures from the UK's armaments sector said on Tuesday.

"The defence industry requires support and leadership from political leaders and we are looking for future governments to take that forward," Ian King, chief executive of BAE Systems (BAES.L), told reporters. "Unless it is adequately funded it will cause problems for Ministry of Defence (MoD) forces."

His comments came as trade body the Defence Industries Council (DIC) published reports on the economic contribution the defence industry makes to the UK and the support it gives to the UK's armed forces.

The DIC remarks were seen as a warning shot to political parties not to cut an annual defence budget of around 36 billion pounds ($58.8 billion).

Spending will come under the microscope next year when Britain conducts its first strategic defence review in more than a decade. The review is expected to be held early in the next parliament.