Vote Labour to end “Tory austerity”, says Balls

Today Ed Balls will speak in Glasgow, in which he’ll says Labour’s first Budget would “end Tory austerity in Scotland”.

Following on from Gordon Brown’s speech in Glasgow East on Monday(in which he said Labour would spend £800m a year fighting social inequality and ill-health), Balls will also say that Labour would investment in the NHS and education, while also creating new jobs.

The crux of Balls’ speech will rest on the idea that a UK Labour Budget is the only alternative to Tory austerity – a line the party have been pushing, particularly in Scotland to try and make a dint in the high levels of support for the SNP.

Balls is expected to say the following, which includes a 3 point list explaining why voting SNP will continue Tory austerity:

“The Tories are planning extreme spending cuts after the next election – deeper cuts in the next three years than the last five years.

“These are ideological spending cuts which go way beyond balancing the books.

“And we all know what it would mean – another VAT rise and cuts to our National Health Service.

“We reject these extreme and risky plans. That’s why Labour voted against the Tory Budget last month.

“But the only way to stop this Tory austerity is by voting for a Labour government and with a Labour Budget after the election.

“Because we will get to work straight away with new investment for our NHS, education and job creation here in Scotland and the whole of the UK.

“Our tough but balanced plan, set out in our fiscal pledge, means we won’t do this by increasing borrowing but with fair tax changes across the UK.

“So we will have a mansion tax on properties over £2 million, a tax on bank bonuses, changes to pension tax relief for the very highest earners and action to tackle tax avoidance too.

“As Gordon Brown said on Monday, this will mean £800 million of additional spending for Scotland.

“And Jim Murphy has already said how he wants to use that investment for the health service, to get young people back to work and to increase bursaries for students.

“But let’s be clear, we will only get this additional investment in Scotland and across the UK with a Labour Government.

“And a vote for the SNP is a vote for continued Tory austerity.

“First, because they have failed to back Labour’s fair tax changes across the UK which means we can have extra investment for the NHS, education and young people.

“Second, because the SNP remains wedded to a fiscal approach for Scotland which rejects the pooling and sharing of resources across the United Kingdom. That doesn’t just mean scrapping the Barnett formula – damaging though that would be. The SNP’s plans for Scotland would mean, according to the independent Institute for Fiscal Studies, £7.6 billion of spending cuts and tax rises. This would have a hugely damaging impact on living standards and public services in Scotland.

“And third, because a vote for the SNP means it is more likely David Cameron stays in Downing Street. Every vote in this election that might allow the Tories to be the largest party is a vote for Tory austerity to continue.

“Three reasons why a vote for the SNP is a vote for continued austerity.

“There is only one way to end Tory austerity in Scotland and that’s by voting Labour.”