News story

Getting to grips with the deficit

This news article was published under the 2010 to 2015 Conservative and Liberal Democrat coalition government

The Prime Minister has spoken about the Government's plans to cut the deficit during a live interview on Radio 4's Today programme this morning.

Speaking to presenter Evan Davis, the PM said there could only be a “sustained recovery” with real growth and jobs if ministers tackled the Budget deficit.

Earlier this week, Chancellor George Osborne outlined where £6.2 billion of savings will be made in government spending during this tax year and the plans were a key part of the Queen’s Speech on Tuesday.

The PM said:

The key thing is we promised £6 billion of spending reductions; we have delivered £6 billion of spending reductions. That is good for our economy, it shows us getting to grips with the deficit, it will enhance international confidence in the economy.

He added:

I think it is an important point, though, that reducing the deficit and getting the economy to grow, they’re not alternatives, they go together. We’re only going to get a sustained recovery with real growth, real jobs [and] the wealth we want to see in our country, if we get to grips with the fact that we have an 11 per cent budget deficit.

Read more about plans to reduce the deficit in the Queen’s Speech

Read more about The Chancellor’s announcement on the Treasury website