Labour

Chancellor has already had to revise his borrowing targets upwards by £46 billion - Reeves

Rachel Reeves MP, Labour’s Shadow Chief Secretary to the Treasury, in response to today’s public sector finances figures, said:

“The Chancellor has already had to revise his borrowing targets upwards by £46 billion because of the slower growth, higher inflation and higher unemployment his failed policies have delivered. And independent forecasts published by the Treasury last week suggest borrowing will have to be revised up again in next week’s autumn statement.

“Trying to cut spending and raise taxes too far and too fast has crushed confidence, pushed up unemployment and choked off the recovery well before the recent eurozone crisis. We repeatedly warned this would be the case and that more people on the dole claiming benefits and not paying taxes will make it harder to get the deficit down. If David Cameron is finally recognising this fact, then it’s a step forward, but families and businesses now want to see action.

"We need tough decisions on spending and tax to get the deficit down, but to get borrowing down successfully and do it in a fair way we need strong growth and falling unemployment too. That’s why we need a steadier and more balanced approach to the deficit and Labour’s five point plan for jobs and growth to get Britain working again.”