David Cameron will insist today |that there can be no turning back from the Government’s economic strategy and deep spending cuts |despite growing fears of a double-dip recession.
In his speech at the World Economic Forum in Davos, the Prime Minister will admit there is a long haul ahead but rule out a U-turn following this week's gloomy figures showing the economy contracted by 0.5% in the last quarter of 2010.
In today's speech, Mr Cameron will soften his previous claim that Britain is out of the “danger zone”.
He will warn that it will not be easy to transform the country's economy but will insist: “Those who argue that dealing with our deficit and promoting growth are somehow alternatives are wrong.
“You cannot put off the first in order to promote the second.”
The Prime Minister will add: “We can't just flick on the switch of government spending or pump the bubble back up. Making this transformation — and it is a transformation — requires painstaking work and it takes time. It involves paying down billions of pounds of debt.
“It's going to be tough — but we must see it through.
“The scale of the task is immense, so we need to be bold in order to build this economy of the future.”