Ed Miliband will today concede that Labour will not be able to reverse any of the Coalition’s spending cuts unless they are fully funded by budget reductions elsewhere.
After three years of opposing almost every one of the Government’s attempts to bring down public spending, the Labour leader will risk disappointing core supporters by declaring that if he wins the next election he will not borrow more to undo any of them.
However, Labour is still committed to borrowing billions more in order to fund spending on infrastructure projects, such as roads and power stations, and a temporary VAT cut.
