Darling's in a hole but Brown is to blame, says Cameron

Accusing the Government of a "credibility crunch", he said Alistair Darling had had the "most disastrous start" of any chancellor in modern British history.

But the Conservative leader added: "Let's be in no doubt as to the real source of the Government's problems.

"Ask any question about this Budget and the answer comes back to one man: the Prime Minister. Why is the Chancellor hitting the low-paid with higher tax? Because that's what the Prime Minister did in his last Budget.

"Why is the Chancellor left with the biggest budget deficit in western Europe? Because the Prime Minister's spent all the money over the last 11 Budgets.

"Why is the Chancellor imposing £1billion of tax changes on capital gains tax and family businesses? Because the Prime Minister got himself in a panic trying to copy our proposals on inheritance tax. The Chancellor was put in a hole by the Prime Minister - and they've both kept digging.

"Everyone will conclude the Prime Minister who got us into this mess can't be the man to get us out of it."

Mr Cameron emphasised the Government had failed to prepare properly for an economic slowdown during years of strong growth - which had left Britain "running on empty".

"In the years of plenty they put nothing aside and now the lean years are coming, the cupboard is bare," he said. "They didn't fix the roof when the sun was shining."

Turning the spotlight on to the current Chancellor's battered reputation, he said: "What we needed in this Budget was real leadership and a serious plan to get this country out of the mess they made.

"Five months ago, the Chancellor stood at that Dispatch Box. He proposed changes to capital gains tax. That lot cheered - and the policy fell apart.

"Five months ago, he announced plans on non-doms. That lot cheered - and the policy fell apart.

"Month after month, they said they didn't want to nationalise Northern Rock and then they did.

"They cancelled an election, which - unbelievably - they planned to fight on competence and then promptly lost half the country's personal data in the post.

"The City may be having a credit crunch but the Government has had a credibility crunch."

Mr Cameron stressed that despite tax hikes, people were dismayed at closures of post offices and maternity units.

"Never has so much money been raised in taxes, spent and wasted," he said.