Conservative Shadow Chancellor George Osborne is out of his depth says Vince Cable

6.46.00pm GMT Wed 24th Feb 2010

"Slashing spending now could push the economy back into recession and inflict further structural damage on the UK," said the Liberal Democrat Shadow Chancellor.

Commenting on George Osborne's Mais Lecture, Vince Cable said:

"Osborne's latest economic commentary shows just how out his depth he is when it comes to the important economic issues.

"Slashing spending now could push the economy back into recession and inflict further structural damage on the UK that will make it harder to sustain our credit rating.

"He is at odds with his leader on when cuts should come and fails to appreciate that what the markets are looking for is a credible plan to reduce the deficit, not a willingness to slash regardless of economic conditions.

"In the current climate it is essential that decisions about the speed and timing of tackling the deficit are based on the state of the economy, not political dogma."