LONDON: Britain Labour will plunge £170 billion further into debt, Institute for Fiscal Studies said. Voters will face a choice between Tory spending cuts of at least £33 billion or cuts of just £7 billion under Labour if it wins power in the General Election in May, financial experts warned.
He warned: “If Labour is spending more and doesn’t raise taxes, it will preside over a greater burden of debt. The effect of this would mean national debt about £170 billion higher by the end of the 2020s. Another recession will strike one day. Going into a recession with high debt could leave less room for manoeuvre. Additional borrowing might not be as easily financed.” Tories plan to save £30 billion through spending cuts and a crack-down on tax avoidance. But Labour claims the approach will fail without measures to boost growth.
