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Hutton calls for spending honesty Hutton calls for spending honesty
(about 4 hours later)
Voters expect honesty from politicians about public spending, former cabinet minister John Hutton has said.Voters expect honesty from politicians about public spending, former cabinet minister John Hutton has said.
While it was very difficult to be precise about figures years ahead people knew things were going to be tight, he said. While it was difficult to be precise about figures years ahead people knew things were going to be tight, he said.
Labour says the Tories are planning 10% cuts, while the Tories say Labour are not being honest about their own plans.Labour says the Tories are planning 10% cuts, while the Tories say Labour are not being honest about their own plans.
Former PM Sir John Major said if public spending was not cut, the standard rate of income tax may have to rise by 5p. Shadow business secretary Ken Clarke told Sky News it was "absurd" to pretend "every single item of public spending" was essential to recovery.
Both Labour and the Conservatives are under pressure to spell out what spending cuts will be needed to rebalance the public finances and reduce public debt.Both Labour and the Conservatives are under pressure to spell out what spending cuts will be needed to rebalance the public finances and reduce public debt.
'Dishonesty' row'Dishonesty' row
Last week Tory leader David Cameron suggested there was a "thread of dishonesty" in Gordon Brown's premiership and said he refused to acknowledge that the Treasury's own figures forecast a fall in total spending after 2011.
Mr Brown told the BBC he "always told the truth" and warned politicians against making "personal attacks".
There have been reports some cabinet ministers are unhappy with fighting a general election on a platform of investment versus "Tory cuts" and believe the government should be more upfront about the economic challenges.
'If they continue with this huge deficit, at some stage our national credit rating will collapse''If they continue with this huge deficit, at some stage our national credit rating will collapse'
The Sunday Times reports that senior civil servants are preparing plans for 20% cuts in public spending because they fear politicians are failing to confront the issue. Mr Hutton - one of several ministers to leave the cabinet in the recent reshuffle - said he believed the government had been clear about its priorities but said the debate had "to deepen a little bit".
On Wednesday Prime Minister Gordon Brown told the BBC he was being honest about his spending plans - after Tory leader David Cameron suggested there was a "thread of dishonesty" running through his premiership.
Mr Hutton left the cabinet in the recent reshuffle but says it was for "personal, not political" reasons.
He said he believed the government had been clear about where its priorities were - education, welfare reform - but said the debate had "to deepen a little bit".
"I don't think you can go on saying we can continue to spend as if nothing has happened in the last year or so - people know something big time has changed," he told BBC One's Andrew Marr Show."I don't think you can go on saying we can continue to spend as if nothing has happened in the last year or so - people know something big time has changed," he told BBC One's Andrew Marr Show.
Politicians had to be clear about what they would prioritise - "politicians have got to lead that debate and be clear with people about what's happening". "Politicians have got to lead that debate and be clear with people about what's happening," he said.
"People are much more grown up than we often assume, they understand there's a change coming, they want to be clear about what the priorities are, how they deal with that." "People are much more grown up than we often assume, they understand there's a change coming, they want to be clear about what the priorities are."
Later in the programme Sir John, Tory prime minister from 1990 to 1997, said the current economic crisis was unprecedented and could be dealt with only by reducing public expenditure or increasing taxes. 'Absurd' argument
Referring to the government's plans outlined in the Budget, he said: "There's already an increase of 10p in the upper rate from 40p to 50p for the rich. Shadow Business Secretary Ken Clarke accused the government of "shutting down" debate on exactly where cuts might fall, accusing it of "cancelling" its spending review because it was "politically convenient" to do so.
"But the rich can't remotely provide the sort of money we're needing. That's relative petty cash compared to what will be needed. "We need some options put before us and some proposals put before Parliament," he told Sky News.
"I think you may well get 5p on the standard rate, you may well get VAT at 20%. "To go on the basis that nothing's changed, to argue as the prime minister argues that every item of public spending at the moment is an essential part of our economic recovery is absurd.
"And even if you got that, you would not begin to bridge the gap that needs to be bridged". All of us are going to have to make our choices, all of us are going to have to set our priorities and the public will judge Alistair Darling class="" href="/2/hi/uk_news/politics/8135020.stm">Spending chief urges pay freeze
"They should have a spending review then we, as a responsible opposition, would have to respond to it."
Former Tory PM Sir John Major told the BBC if public spending was not cut significantly, the standard rate of income tax may have to rise by 5p.
He said the 50p tax rate on high earners announced in the Budget would provide "relative petty cash compared to what will be needed".
"You may well get 5p on the standard rate, you may well get VAT at 20%.
Speaking to Sky News, Alistair Darling was asked if he was one of the ministers advising Mr Brown to level with voters on the economic problems.
He replied: "Gordon and I have many discussions and both of us are absolutely clear our priority now is to build our economy, to resume with great vigour the drive to make sure this is happening in other parts of the world because our future depends on that."
He said all political parties would have to "set out our stalls" before the next election.
"I am very clear that things like education, health, transport, these are important matters. But as I have said time and time again, all of us are going to have to make our choices, all of us are going to have to set our priorities and the public will judge."