Former chancellor Alistair Darling has accused George Osborne and the Bank of England of “giving up on growth”.
In an open letter to Osborne, published in The People, Darling (pictured) urged the chancellor to come up with a plan B, as his policies “simply have not worked”.
Darling said: “It is as if you are both saying there is nothing you can do and nature must take its course. But the damage that will do to our country is immeasurable.
“You really must act. And act now. Otherwise it will take years to get Britain’s economy growing again to create the jobs we need.
“You need another plan. Call it plan B. Call it whatever you like. But unless you do something now it will be years before we recover.”
Darling urged the Government to invest in rail infrastructure, housing and replace ageing power stations.
Last week, nine of the 20 economists that previously backed Osborne’s deficit reduction programme called on him to change his plans and boost the economy through spending.