Chancellor ‘is hostage to Lib Dems pact’

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GEORGE OSBORNE would have carried out a U-turn on his economic plans earlier but for being in coalition with the Liberal Democrats, Labour’s Shadow Chancellor Ed Balls claimed yesterday.

Mr Balls said the Government’s deficit reduction strategy had choked off recovery and a more “balanced plan” of some cuts and tax rises was needed.

And he claimed Chancellor George Osborne, would have changed course but for the pact with the Lib Dems.

Mr Balls said during a visit to Kingsway Business Park in Rochdale: “The trouble is the Liberal Democrats and Conservatives signed a pact together, which said ‘We’ve got a plan and we are going to stick to it’.”

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