UK's Brown: Growth plans fit with deficit cutting

Britain's plans for economic growth are compatible with the government's strategy to reduce its record deficit, PM Brown said.

UK's Brown: Growth plans fit with deficit cutting

Britain's plans for economic growth are compatible with the government's strategy to reduce its record deficit, Prime Minister Gordon Brown said on Thursday.

"Our strategy for growth is not at the expense of our deficit reduction plan," he said in a speech in London, setting out government plans to rebuild the economy after the deepest recession in more than 50 years.

The government has committed itself to halving the budget deficit over the next four years.

Brown said last weekend that there might be scope to boost support for public services if the economy rebounds faster than expected, leading to talk of a split with his finance minister Alistair Darling who has placed emphasis on deficit reduction.

Brown was speaking at his first major public appearance since two former cabinet ministers called for a ballot on his leadership before a general election due by June. The revolt appears to have petered out.

"Returning the British economy to sustainable growth will be critical to paying down the high levels of public borrowing incurred in preventing the collapse of our own banking system and supporting people in business through the downturn," the government said in its "Going for Growth" document.

"Growth creates jobs and raises standards of living. Growth provides the fiscal strength that supports high quality public services. This is why growth matters," it added.

Reuters
Last Mod: 07 Ocak 2010, 19:03
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