Press Association
Saturday 11th February 2012
Gordon Brown faces fresh pressure over his handling of the economy as a report from the EU Commission warns that the UK is not doing enough to tackle its spiralling deficit.
A leaked version of the document has already drawn a sharp response from the Prime Minister, who insisted the Government has "the most ambitious plan of any advanced country" to halve the debt in four years.
The report, due to be formally published on Wednesday, says Britain is not on track to reduce its deficit in line with EU rules by 2015. It also questions Treasury forecasts for economic growth over the coming years, suggesting they could be optimistic if the global economy fails to perform as strongly as expected.
The concerns have been seized on by the Tories, who claimed they dealt Mr Brown's credibility a "heavy blow".
Shadow chancellor George Osborne said: "We have been arguing that we need to reduce our record budget deficit more quickly in order to support the recovery. Our argument is backed by credit rating agencies, business leaders, international investors, and now the European Commission.
But speaking in Downing Street on Tuesday night, Mr Brown insisted: "We have the most ambitious plan of any of the advanced countries for reducing our deficit. We are going to cut our deficit by half over the next four years.
"We are setting out, as we have done in the Pre-Budget Report and again in the Budget, how we will do that to the best effect.
"But what we will not do is put the recovery at risk. The EU Commission has made clear that we should not have the fiscal stimulus removed until the recovery is assured. We will therefore make the best decisions for Britain, for British growth and for British jobs."
And Chancellor Alistair Darling, in Brussels for talks with other European finance ministers, said the Commission was wrong in its assessment of Government tactics.
He said: "The European Union must concentrate on getting deficits down - and make sure we can achieve sustainable recovery. We are doing it in a way which is sustainable, manageable, and which does not damage the social and economic fabric of our country.
