Osborne will give '110% attention' on getting economy moving

I think the Governor of the Bank is right on the big picture, which is the economy is healing, but it is a slow and difficult process and we're dealing with some very deep-rooted problems at home and some storms from abroad, but the deficit is down, inflation is coming down, growth is disappointing and now we've got to have the undivided attention of the Government to do everything possible to get the economy moving.

I think the Government now has an opportunity to give its 110% attention and effort and energy to getting the economy moving and using time available in Parliament to do just that.

When you look at what the Governor of the Bank is saying today, he is saying the economy is healing - I think that's significant - but there are still many challenges and the job of the Government is to address those challenges, that's precisely what we're going to do.

– George Osborne, Chancellor

Advertisement

Britain growth forecast zero

The Governor of the Bank of England Sir Mervyn King says the economy has reached a point where it is virtually flatlining. He downgraded his growth forecast for this year to around zero. Britain's economy, in other words, is grinding to a halt.