Tories demand OBR steps in to scrutinise Rachel Reeves' spending plans amid alarm that her sums don't add up without tax hikes
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The Tories have demanded the Office for Budget Responsibility steps in to scrutinise Labour's spending plans amid claims the 'fantasy sums' don't add up.
Conservative MP Gareth Davies, the shadow financial secretary to the Treasury, called for the watchdog to assess Chancellor Rachel Reeves' proposals.
Ms Reeves used her Spending Review on Wednesday to set out plans to 'invest' a staggering £4trillion to fund 'the renewal of Britain' over the coming years.
The Chancellor outlined day-to-day spending across Government for the next three years, as well as plans for capital investment over the next four years.
She repeatedly said the cost of her Spending Review was covered by the tax rises she brought in last year, telling Whitehall departments to now 'live within their means'.
But Ms Reeves also failed to rule out hammering households with further tax hikes at her autumn budget amid deepening economic gloom.
Experts have warned a weakening economy and extra spending pledges - such Labour's U-turn on winter fuel payments - mean taxes are likely to go up again.
The Institute for Fiscal Studies delivered a withering assessment of the Chancellor's spending plans and warned that tax rises look 'almost inevitable'.
The think-tank's director Paul Johnson said he would be 'very surprised indeed' if heath and defence funding did not need topping up before the next election.
Despite Labour's splurge, he also cautioned that schools spending looked extremely 'tight' as special needs provision demand grows.
The IFS's post-mortem also ridiculed the Government's claim to have identified billions of pounds in 'efficiencies' during a 'zero-based' overhaul of costs.
Mr Johnson pointed out that all departments had been pencilled in for exactly the same percentages of back-office cuts, suggesting it was not a 'serious' exercise.
In his call for the OBR to carry out an assessment of Ms Reeves' plans, Mr Davies noted how the Chancellor had previously vowed never to sideline the watchdog.
In July last year, Ms Reeves announced new laws giving the OBR the power to make an independent assessment of any single major tax and spending announcement.
The Tory shadow minister said: 'This is the first time in the OBR's history that it has not provided a report alongside a Spending Review.
'This means Labour's Spending Review is founded on billions of pounds worth of speculative savings which have not been subject to independent OBR scrutiny.
'The supposed savings dwarf the Chancellor's headroom, so taxpayers are on the hook if they fail to materialise - as they always do with Labour.
'Given that Rachel Reeves promised to never make a significant fiscal announcement without an OBR report, this is yet another U-turn from a Government which has lost its grip.
'Labour has lost control of the economy, and families are tightening their belts as a result.
'Rachel Reeves' fantasy sums will be paid for in billions more borrowing and even more tax rises.
'The OBR must assess Labour's sums to prevent further speculation and uncertainty, and protect the pockets of hardworking British taxpayers.'
An HM Treasury spokesperson said: 'The OBR carries out independent forecasts at fiscal events, including the Budget. The spending review was not a fiscal event.'
The OBR did not comment.
