Labour have, of course, come out fighting saying that their plans are sound, and that they'll halve the deficit in four years. They point to the Fiscal Responsibility Bill as proof that they have no choice anyway.. it's the law don't you know! Indeed, it's a law that says "The Treasury must..." quite a lot and then in Section 4.3 it says,
Accordingly, the fact that—Some have already complained that the Act has no sanction in it if the obligations are not met, but the truth is its worse than that, it actually explicits says that failing to do what the law says is not anyone fault and is not illegal - talk about pointless legislation huh?
(a) any duty in section 1, or
(b) any duty imposed by an order under section 2,
has not been, or will or may not be, complied with does not affect the lawfulness of anything done, or omitted to be done, by any person.
Anyhow, I digress, that the European Commission has called Labour on its bullshit should not really be a surprise. From 2003 onwards Gordon Brown consistently predicted that borrowing would fall, and every year he retruned to the Dispatch Box for a budget his figures had changed (see here and here).
Only a complete idiot would believe that things are going to go the way Brown says they will.. look at his track record in Budget speeches
* Dotted lines are predictions for debt from Brown each year. Solid line is what Brown confirmed debt to be for each year.
Always wrong, or always lying. You decide.