Chris Leslie MP, Labour’s Shadow Treasury Minister, responding to the Treasury’s announcement on Northern Rock today and BBC reports that the Treasury knew about the problem in October, said:
“George Osborne’s smoke and mirrors in last week’s Autumn Statement continue to be exposed.
“First we found out that the proceeds of the 4G mobile had been added to this year’s figures, even though government delays mean the sale hasn’t even happened yet.
“Now the Treasury has admitted that public sector net borrowing will be £270 million higher this year as a result of mistakes at Northern Rock. But this figure was not revealed to parliament last week or in the official forecasts, even though the Treasury has admitted it knew about this problem in October.
“It’s time George Osborne started being honest with people. No amount of trickiness with the figures can disguise the fact that his failure to deliver jobs and growth means he is borrowing billions more than he planned.”