Britain must reduce deficit to avoid long-term low growth, warns Ken Clarke
Britain will have to tackle its deficit and debt levels if it wants to move away from low growth, former Chancellor Ken Clarke has warned.
He said the Conservatives' plan to significantly cut public spending in order to reduce the country's debt was one he is "entirely signed up to".
Speaking to the Sunday Telegraph, he said: "It's not a complete solution, but unless you have fiscal discipline, and unless you get rid of a problem of an unsustainable deficit and debt burden, then you're not going to [be] able to get growth."
"If you saddle the [economy] with debt [...] then you're wasting your time trying to deliver the growth that we wish to achieve."
Britain's current level of debt totals £1.46trn, equal to 79.6% of gross domestic product (GDP).
This contrasts to the 35-40% of GDP that Clarke believes is manageable for a "properly run and organised" economy.