Government Capital Expenditure
Opposition Day — [3rd Allotted Day]
David Gauke (Shadow Minister, Treasury; South West Hertfordshire, Conservative)
Yes, I do agree with the hon. Lady, and if the Liberal Democrats' policy is simply to identify wasteful spending, I am certainly with her. We welcome the Liberal Democrats to that cause.
In the debate on
"There are dangers in doing what I believe the Government propose, which is to have an unfunded tax cut, which I understand would be financed by Government borrowing. However, Government borrowing ultimately has to be paid for—it is deferred taxation or inflation, and that is not a satisfactory way forward either."
We would certainly agree with that. The hon. Gentleman concluded by saying:
"We need a stimulus that will be funded".
However, only a few weeks later, the Liberal Democrats are calling for higher spending, and are not calling for any tax cuts.