CAMERON WARNS ON BRITISH DEBT
TORY leader David Cameron came under fire from the Labour party yesterday after he warned that Britain could struggle to repay its debt.
Speaking at the Royal Society of Arts, Cameron said that increased government debt runs the risk of higher interest rates and “not being able to meet your obligations”.
However, the opposition leader added that he was not actually predicting that the country would default on its debt, which is set to double to £1.4 trillion in the next five years.
“But as government borrowing goes up and up and up, you start running that risk,” he said.
Labour hit back at the comments, branding them “political naivety” and “economic policy by innuendo”.
“It was an extraordinarily stupid thing to say which betrays his inexperience and opportunism,” said an aide to Alistair Darling.