Downturn deeper than expected, says Darling
LONDON (Reuters) - Britain's economic downturn is likely to be deeper and last longer than expected and could be the worst for 60 years, Chancelllor Alistair Darling said on Saturday.
In a candid interview with the Guardian, the Chancellor said the government had failed to get its message across and would battle to persuade a sceptical electorate it deserved another term in power.
The paper's website quoted him as saying economic times for the country were "arguably the worst they've been in 60 years".
He added: "I think it's going to be more profound and long-lasting than people thought."
Economic conditions presented the ruling Labour Party with its toughest challenge since the 1980s, he said.
"We've got our work cut out. This coming 12 months will be the most difficult 12 months the Labour Party has had in a generation, quite frankly."
Two days earlier, Bank of England policymaker David Blanchflower told Reuters two million Britons could be out of work by Christmas.
Britain's economy failed to grow in the second quarter of the year for the first time since the early 1990s and many economists believed it had already tipped into recession.
Darling's comments suggested growing unease in the highest ranks of the government that the downturn would make it difficult for Prime Minister Gordon Brown to recover popularity and fend off a resurgent opposition Conservative Party. Continued...

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