[ad_1]
- Written by Jacqueline Howard
- BBC news
The shadow foreign secretary has claimed that Labor will push ahead with a £28bn green investment plan if it wins the next general election.
David Lammy dismissed suggestions that Labor was backtracking on its pledge, telling the BBC that Labor was “committed to this plan by the second half of next term”.
He added that the policy would be subject to the party’s fiscal rules.
The Conservatives claim the plan will “drive up inflation”.
Mr Lammy told BBC Breakfast that investing in green projects was “the only path to growth for the UK”, adding that it would be “debt to invest in future jobs”.
Speaking on Radio 4’s Today programme, Mr Lammy said this was a promise that voters could trust Labor to keep.
In response to a question, he added that “whatever the economic situation is”, “it has to be within the fiscal rules” and that he had “no idea” what kind of economic situation Labor would “inherit”. .
For the first time in 2021, Labor announced plans to spend £28bn a year until 2030 on green projects such as offshore wind and the development of electric car batteries if it wins the 2024 general election.
The flagship Green Prosperity Plan will be primarily financed by debt, creating a clear line of demarcation with the government.
But in June last year, shadow chancellor Rachel Reeves watered down the target, saying if it won the 2024 general election the party would invest over time, reaching £28bn a year from 2027 onwards. .
A senior Labor Party official told the BBC that the reason for this was the fiscal situation, stressing that Labour’s fiscal rules were more important than any policy.
Labor leaders told the BBC that the party’s fiscal rules, which include a pledge to cut debt within five years, are seen as more important than any other policy.
The Conservatives have sought to use the policy to attack Labour’s economic credibility, arguing it lacks leeway and would require tax rises.
Labor is divided over the policy, with some privately voicing concerns about its affordability in the current economic climate.
[ad_2]
Source link
