Cameron: Brown must take responsibility
Updated on 23 February 2009
David Cameron talks to Jon Snow about how to get the country out of recession and who should be accountable for what has happened to the economy.
On introducing tax increases, David Cameron said: "You can never rule out increasing taxes. I hope it won't be necessary, but I think we've got to get public spending under control first."
He declared the decision to cut VAT as "crazy" saying: "Anyone who had been shopping before Christmas could see that the shops were cutting prices by 10 per cent, by 20 per cent.
"The idea that adding a two and a half per cent VAT cut to that was going to make any difference I think was nuts. I do not think it did anything for confidence."
He explained his opinion of the British economy saying: "In terms of our fiscal situation, in terms of government borrowing, we are in a very bad situation and that is the responsibility of Gordon Brown.
"In terms of our deficit, yes we are the sick man as you put it. In terms of our economy, things are very difficult but we should not talk it down or make it sound worse than it is."
On bank bonuses, Cameron added: "In those banks that had receipt of tax payers money I think it is completely outrageous for them to turn round and use some of that money effectively to pay bonuses.
"The idea you take a lot of tax payer's money in a year when you have had a disastrous year and you use some of that money to pay big cash bonuses I think is wrong."
Finally on the possibility of an inquiry into the causes of the economic downturn, Cameron said: "Right now the priority is roll up the sleeves - some big, bold and simple measure to get our economy moving again.
"Then there needs to be a day of reckoning when we work out how we have got into this mess in the first place."
