George Osborne’s £81 billion package of spending cuts to reduce the Britain’s debts has been described as “courageous” by the Organisation for Economic Cooperation and Development (OECD).
The OECD has welcomed Osborne’s spending review – announced on Wednesday – as a “necessary step towards achieving long-term fiscal stability”.
The praise contrasts with stinging criticisms from the Institute for Fiscal Studies, which has labeled the cuts as regressive. (article continues below)
Angel Gurría says, the secretary general of the OECD, says: “Budgetary consolidation is never easy but the timing and scope of the measures balance concerns for near-term growth with the need to stop the snowballing of debt and to preserve credibility.
“The measures are tough, necessary and courageous. Acting decisively now is the best way to secure better public finances and bolster future growth.”