The Organisation for Economic Co-operation and Development (OECD) has this morning issued a damning report on the UK economy with a suggestion that the UK government is holding back on significant public service cost cuts until after the election. This train of thought was given further credence when Lord Mandelson gave an interview this morning suggesting that the UK government would not look at any public sector investment cuts until at least 2011. With UK net debt increasing month by month this is a worrying time for economists and the UK public.

The problem which many observers have is the fact that if the current government is voted back into power at the next general election then this would give the authorities a free rein over public spending over the next four years. However, if as expected, the Conservative party look to further highlight discrepancies in UK government spending policies and individual Cabinet minister opinions then we could have a very volatile and controversial general election on our hands.

With associations such as the OECD suggesting that the UK government needs to act sooner rather than later there is more and more pressure being heaped on Gordon Brown and his ministers. Will we hear the truth before the next general election?

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