Howard slams 'downgraded Chancellor'

Gordon Brown was today branded a "downgraded Chancellor" who had been "humiliated" into revising his economic forecasts.

The Shadow Chancellor Michael Howard told MPs the Chancellor had been proved "wrong" time and again after he disclosed that the public finances were set to plunge £20 billion into the red this year – £9 billion more than previously predicted.

Giving his pre–Budget Report, Mr Brown insisted that the borrowing was affordable and there would be no going back on public spending promises.

In his response Mr Howard said "this is a moment of humiliation for the Chancellor".

"The Chancellor was forced to admit that his forecasts on growth were wrong, his forecasts on revenue were wrong, his forecasts on borrowing were wrong, his forecasts on his deficit were wrong.

"These are the downgraded forecasts of a downgraded Chancellor."

Mr Brown had been "trawling around looking for alibis", the Tory spokesman warned MPs, and "rehearsing his excuses.

"Everyone is to blame for the fact that the Chancellor got his forecasts wrong except the Chancellor himself."

He even told Mr Brown a song had been dedicated to him in which the lyrics warned: "Giving with one hand, taking with the other, shatter your dreams, then you run for cover."

But the Chancellor had not been able to "run for cover" this time when he announced growth in the UK would be just 1.6% this year against a forecast of 2% to 2.5% at the time of the Budget.

Independent forecasters had predicted slower growth at the time of the Budget, he said, and had taken a "more realistic view of prospects than the Chancellor did himself".

"So everyone knew about this, everyone apparently except the Chancellor of the Exchequer."

He added: "The Chancellor thought everyone else was wrong and he was right."