Shadow Chancellor Ed Balls on fuel VAT and bank levy plans

Ed Balls accused the Conservatives of "nonsense propaganda" on Labour's announcements ahead of the Budget as he explained ideas for a further bonus tax on banks and cutting VAT on petrol back to 17.5%.

The Shadow Chancellor said it would be "irresponsible" to make spending commitments at this stage, but he would back higher taxes and spending cuts.

His ideas were challenged by Conservative MP Matthew Hancock, who said the EU would not allow some of the Labour ideas, which lack "credibility". And his party has accused Labour of making £12bn of unfunded spending commitments in the last month.

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