- 7 updates
The Shadow Chancellor has written in the Evening Standard calling on George Osborne to bring forward investment in infrastructure after IMF warnings last week.
Ed Balls said that the Chancellor, "is still wedded to failed strategy."
Mr Balls said that if the Chancellor, "acted now to boost the economy and so bring in more tax revenues, the scale of cuts could be reduced."
Shadow Chancellor Ed Balls has attacked George Osborne for focussing on cuts instead of infrastructure projects that he claims would help the economic recovery.
Writing in the Evening Standard, Mr Balls argues that the government should take advantage of "record low" interest rates and bring forward investment in homes and transport:
Transport campaigners have said they believe the Treasury may announce additional public funding for the widening of the A14 in the coming days.
A spokesperson for the Campaign for Better Transport said that difficulties in raising private investment may prompt the government to announce the extra support, although details of routing and cost are not expected until the Autumn.
The A14, which links the Port of Felixstowe to the British road network, has been heavily congested for years. The government has sponsored a series of studies into the possibility of charging a toll to pay for the work.
It is one of a number of large infrastructure schemes that may receive financial support when the Chancellor gives his spending review on Wednesday.
Chancellor George Osborne is expected to announce some new funding for infrastructure projects, such as roads and railways, in his spending review statement on Wednesday.
Some of the projects that may get funding include:
- Widening of the A14 in Felixstowe, Suffolk
- Mersey Gateway bridge in the North West
- Initial funding for the HS2 railway line
- Roll out of broadband Internet
- Green energy schemes
Chancellor George Osborne has reached an agreement with all his Cabinet colleagues over the extent of cuts to their department's budgets.
Over the weekend, Defence Secretary Philip Hammond and Business Secretary Vince Cable settled on the extent of their departments' contributions to the £11.5 billion of cuts for 2015/16, which are set to be announced on Wednesday.
Latest ITV News reports
Chancellor George Osborne has reached an agreement with Cabinet colleagues over the extent of cuts to their budgets.