Order to disband the Faughs cancelled.

Friday, 31 March, 1922
Queen's Colour Royal Irish Fusiliers
Centre detail from a Queen's Colour of the Royal Irish Fusiliers

Following the First World War, a Committee on National Expenditure, chaired by Sir Eric Geddes, made recommendations on economies across all government departments and public expenditure. The 'Geddes Axe', as the measures were referred to, included the disbanding of all Irish regiments except The Royal Inniskilling Fusiliers and The Royal Irish Rifles; the latter being retitled The Royal Ulster Rifles.

The Royal Irish Fusiliers had traditionally recruited in Counties Cavan, Monaghan, Louth and Armagh. However, the Geddes Axe threatened to fall on the Faughs as the emergence of the Irish Free State meant that the majority of the recruiting area would lie outside the United Kingdom of Great Britain and (the newly established) Northern Ireland. The Faughs lobbied hard to remain on the Army List and it was pointed out that despite the spread of the recruiting area some 85% of recruits was raised across County Armagh in Northern Ireland. When the Colonel of The Royal Inniskilling Fusiliers, General Sir Archibald Murray, offered to sacrifice one of his battalions, so long as one of the Faugh battalions was preserved, the War Office signalled their acceptance of his offer at the end of March. Following a conference in London on 19 July 1922, Army Order 341 of 1922 was published. The order included the following:

With reference to Army Order 78, of 1922, His Majesty The King has been graciously pleased to approve the cancellation of the order for the disbandment of the Corps of The Royal Irish Fusiliers (Princess Victoria's). His Majesty has further approved of the amalgamation of the 1st and 2nd Battalions The Royal Irish Fusiliers (Princess Victoria's) ... .