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Tories accuse Labour over trade deficit

Ben Russell Political Correspondent
Friday 14 February 2003 01:00 GMT
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The Tories launched a concerted attack on Labour's "high tax" policies yesterday, accusing ministers of inflicting huge damage on the manufacturing industry.

Tim Yeo, the shadow Trade and Industry Secretary, said Britain's trade deficit was at its worst level for 300 years. But Patricia Hewitt, the Secretary of State for Trade and Industry, angrily criticised the Tories' record over two recessions.

Mr Yeo said more than 600,000 manufacturing jobs had been lost since May 1997 and claimed the trade deficit was at its worst level for 305 years. He blamed "Labour's policy of high tax and over-regulation".

But Ms Hewitt replied: "It's quite absurd to compare today's gap with the state of the economy under William of Orange, when it was about 100th the size of today's economy."

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