Today a £18.5 billion black hole was found in Ed Balls’ spending plans – proving that you can’t trust Labour on the economy.
In his speech at the Labour Party Conference, the Shadow Chancellor made £20.4 billion of spending promises:
- A British Investment Bank: £3.8bn
- Homebuilding: £10bn
- A 10p starting rate of income tax: £780m
- Cutting business rates: £510m
- A Compulsory Jobs Guarantee: £2.58bn
- Restoring the spare room subsidy: £465m
- Repealing the NHS Bill: £1.5bn
- Extending free childcare: £800m
But set out only £1.9 billion of savings to pay for those promises:
- Scrapping Police and Crime Commissioners: £50m
- Capping child benefit: £120m
- Raising income tax: £110m
- Cutting ministerial salaries: £0.6m
- Restricting winter fuel payments: £105m
- Scrapping the married couples tax allowance: £780m
- Abolishing employee shareholder status: £45m
- Reintroducing the Schedule 19 charge for Stamp Duty: 145m
That’s a black hole in Labour’s spending plans of £18.5 billion – which would have to be made up with more borrowing and more taxes on hardworking families.
Labour haven’t changed.
They have no credible plan for the economy – and worse, they’d put the recovery at risk with more inefficient spending, more taxes, and more debt than our children could ever repay.
Only the Conservatives have a long-term economic plan for a healthier economy and a better future.