Britain must shift to a more highly skilled economy in a bid to ease the burden on the squeezed middle, Labour leader Ed Miliband said today.
The next Labour government would not be able to simply increase tax credits for the less well-off as it did during the Gordon Brown years, he said.
Instead, the UK had to move away from its "low-wage economy" so that workers were better paid and could help stimulate economic growth, Mr Miliband told a conference at the London Stock Exchange.
"The redistribution of the last Labour government relied on revenue which the next Labour government will not enjoy," he said.
"The option of simply increasing tax credits in the way we did before will not be open to us."
More top news
More than one in five school staff have had a false allegation made against them by a pupil, according to a survey.
Parents of obese children rarely spot that their child is overweight, doctors warn.
MPs are no longer MPs, just candidates again - Parliament has automatically dissolved and the 'short campaign' begins today.