The government's plans for reducing the budget deficit are not ambitious enough - according to a European Commission report to be published later this week.The report warns that the UK is not on course to cut its deficit in line with EU rules by a deadline of 2015. Those rules say deficits must be below 3% of GDP, but the UK's is expected to hit £178bn - 12.6% of GDP - this year. Ministers insist their plans to halve the deficit in four years are less likely to halt the economic recovery. Those plans, announced in the pre-Budget report, would see the UK's deficit reduced to 4.7% by 2015 - missing the EU target outlined by finance ministers last year.
The government's plans for reducing the budget deficit are not ambitious enough - according to a European Commission report to be published later this week.
The report warns that the UK is not on course to cut its deficit in line with EU rules by a deadline of 2015.
Those rules say deficits must be below 3% of GDP, but the UK's is expected to hit £178bn - 12.6% of GDP - this year.
Ministers insist their plans to halve the deficit in four years are less likely to halt the economic recovery.
Those plans, announced in the pre-Budget report, would see the UK's deficit reduced to 4.7% by 2015 - missing the EU target outlined by finance ministers last year.
