By taking a more balanced approach, President Obama has delivered a growing economy in America - Ed Balls

27 April 2012

ed ballsEd Balls MP, Labour’s Shadow Chancellor, responding to today’s US economic growth figures, said:

"The results of two different economic strategies are increasingly clear to see. By taking a more balanced approach over the last couple of years, with a jobs plan to support the recovery, President Obama has delivered a growing economy in America. But David Cameron and George Osborne's self-defeating austerity policies have plunged Britain back into recession.
 
"In the 18 months since George Osborne's spending review, Britain's economy has shrunk by 0.2 per cent while America has grown by 2.8 per cent in the same period. That is why the US economy is now over 1 per cent bigger than before the global recession, while Britain is now over 4 per cent smaller.   
 
"While in America there is disappointment that these figures are not even stronger and policymakers are rightly debating with urgency what more can be done to boost jobs and growth, in Britain our complacent and out of touch Government has delivered a recession but sits on its hands and offers more of the same.
 
"There do need to be tough decisions on tax, spending and pay. But cutting spending and raising taxes too far and too fast has badly backfired in Britain, with £150 billion of extra borrowing to pay for higher unemployment and economic failure.
 
"David Cameron and George Osborne must wake up to the reality of the double dip recession they have created. We need a change of course and a jobs and growth plan to get Britain back on track - and we need it now."