THE Green Howards, one of the Army's oldest regiments, is to merge with two others in one of the biggest defence shake-ups in decades.

But its identity will not be lost and it will live on as one of the battalions in a new Yorkshire Regiment - destined to be one of the country's largest.

But last night it emerged that the new regiment might not be based in Yorkshire, although senior officers are hoping its headquarters will be in York.

Defence Secretary Geoff Hoon ducked calls to pledge that the infantry force - to be formed from regiments in Richmond, York and Bradford - would retain local bases.

And he refused to guarantee that cap badges would survive, saying only that the regiment would recruit in Yorkshire and retain "golden threads of identity".

From late next year, The Green Howards, based in Richmond, will be amalgamated with the York-based Prince of Wales Own Regiment and the Duke of Wellingtons, in Halifax.

"There is great sadness as this will be the end of us as a single regiment," said the Colonel of The Green Howards, Brigadier John Powell.

"But there is also huge relief as we will retain our identity. We have come out of this extremely well and we will actually be stronger in terms of numbers."

Nationwide, the number of infantry battalions will be cut from 40 to 36 under the changes announced by Mr Hoon in the Commons yesterday.

Each of the three single-battalion regiments of Yorkshire had feared it could be one of those to go, and all had been working to promote their cause.

The Green Howards will make up the second battalion of the 1,600-strong Yorkshire Regiment.

The commander of regional recruiting, Lieutenant Colonel John May, was also delighted at the decision, which is understood to have only been reached on Wednesday.

He said: "The Yorkshire Regiment will bring together three of the region's longest-standing regiments along with their breadth of honours, traditions and values."

John Greenway, Tory MP for Ryedale, said: "The real concern is that, if the new regiment is not based in Yorkshire but somewhere many miles away, the local links will erode."