FB, your defence narrative is seductively plausible but pr00ne's point about the Tories is the clincher. You are quite wrong about the Invincible class. Before the Falklands the Illustrious was being proper for sale to Australia and I am not sure about Arm Royal.
You mention Sands.
I don't have the time to work out the aircraft procurement time lines or research, orders and cancellations. I know that cancelling aircraft programmes and smashing up completed aircraft is virtually criminal. Similarly suddenly scrapping an entire force is monumentally risky.
Wilson is seen to be the architect of our withdrawing from East of Suez. In fact my earlier research shows the reverse. The US, with increasing involvement in Vietnam, urged Wilson to maintain our presence East of Suez and he wanted to do that. He was also under pressure to maintain our forces in NATO.