Chris Leslie MP, Labour’s Shadow Chief Secretary to the Treasury, responding to George Osborne’s evidence to the Treasury select committee, said:

“George Osborne has finally admitted he approved the plans for deeper cuts which the OBR says will take public spending as a share of GDP back to 1930s levels.

"After two weeks when the Tories have tried to say it’s somehow the BBC’s fault, George Osborne has come clean that these are his plans. The Tories are now pursuing increasingly extreme and ideological plans for much deeper spending cuts which go well beyond balancing the books.

"In contrast Labour will take a tough but balanced approach to cut the deficit each year and balance the books as soon as possible in the next Parliament. Our plan will make sensible spending cuts in non-protected areas, fairer choices like reversing the Tory tax cut for millionaires and change our economy so we earn our way to rising living standards for all.”

On the EU budget surcharge, Chris Leslie added:

“It’s now clear nobody believes George Osborne’s smoke and mirrors claims on the EU budget surcharge. The Chancellor didn’t halve the budget as he claimed because the normal British rebate was never in doubt.”