Quantitative easing is a "leap in the dark"

George Osborne has warned that the Bank of England’s strategy of quantitative easing is a “leap in the dark”.

The Shadow Chancellor described the decision to effectively print more money as a “last resort”, necessary because of the “complete failure” of Labour’s other measures to tackle the recession.

He told BBC News, "I don't think anyone should be pleased that we have reached this point. It is an admission of failure and carries considerable risk.”

He stressed, "Let us hope that this approach taken by the Bank of England does lead to an easing of credit conditions.”

And he warned, "This is a leap in the dark and we will see whether it works."

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