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Feud: Lord Mandelson said George Osborne had told a “deliberate untruth” in claiming that the Tories were being denied access to government figures

Lord Mandelson and George Osborne clash again in Yachtgate II

Paul Waugh, Deputy Political Editor
01.07.09

Lord Mandelson resurrected his feud with shadow chancellor George Osborne today by accusing him of lying.

The Business Secretary said Mr Osborne had told a “deliberate untruth” in claiming that the Tories were being denied access to government figures on public spending.

The Conservatives claimed last night that they had been prevented from seeing official statistics on Whitehall departments that would allow them to plan budgets when taking office.

Politicians are not allowed to accuse each other in Parliament of lying.

Lord Mandelson's broadside was a counter-attack to Tory claims earlier this week that Gordon Brown routinely misled the public about policy. David Cameron said a “thread of dishonesty” ran through the Prime Minister's statements on public spending.

Lord Mandelson clashed with Mr Osborne last summer when it emerged that both of them had spent time on the yacht of Russian billionaire Oleg Deripaska. Mr Osborne, who had gossiped about a private meeting in Corfu, was forced onto the defensive over claims he had sought cash from the oligarch.

In a statement today, Lord Mandelson said: “There is a very unattractive pattern of behaviour that is starting to emerge with George Osborne, of innuendo in pursuit of a smear.

“Yesterday George Osborne issued a very serious allegation that the Prime Minister had intervened to deny the opposition of information they were entitled to. This claim has been flatly denied by the Cabinet Secretary.

“I suggest George Osborne withdraws this deliberate untruth to avoid embarrassing his leader at Prime Minister's Questions today.” The Prime Minister's spokesman today said Mr Brown “has not been involved or made any decisions or had any discussion about what information the opposition parties have access to because that would be completely inappropriate”.

He said the premier believed he should abide by “long-standing convention” that it was a matter entirely decided by civil servants.

Britain's public services watchdog today warned that frontline NHS and education services were “inefficient” and should not be exempt from spending cuts. Speaking at a fringe event at the Local Government Association's annual conference, Audit Commission chief executive Steve Bundred said: “Both political parties have pledged that whatever happens they will protect health and education.

“I think that's a big mistake. Health and education are the two services that have been most generously funded over the past decade but they are among the most inefficient services.”

His remarks were heard by housing minister John Healey, who attended the event. Mr Bundred later said there had been huge variations in costs for comparable frontline services — not just in back-office administration.

Lord Mandelson was forced to apologise to Chancellor Alistair Darling after saying on Monday that there would be no public spending review before the general election. The Business Secretary rang Mr Darling following his BBC interview and was later forced to “clarify” that all decisions remained with the Chancellor. Treasury sources say Mr Darling may still outline a set of future Whitehall savings early next year.

The CBI today warned that putting the review on hold until next year or 2011 would lead to greater “uncertainty about the broad direction of the public finances” among businesses.

Reader views (8)

 Add your view

Words fail me regarding mandelson. tis he who puts politics in the gutter he is afraid of us getting an election before Ireland say yes or no to the lisbon treaty and scupper his plans

- Jacqui Williams, peterborough cambs

Did anybody listen to John Healey? He's hit the nail right on the head. Spending in itself does not produce results. money has ben thrown at the NHS and education for over a decade and we have got almost nothing in return. Time to rethink rather than just accepting that it is beyond reproach.

- Mark, London

So Mandy reckons "“There is a very unattractive pattern of behaviour that is starting to emerge with George Osborne, of innuendo in pursuit of a smear."

Pot, kettle and black come to mind!!!!

- Malcolm, London

Of course Mandy knows all about unacceptable patterns of behaviour. That phrase was tailor made for him.

- Albert Hall, kettering

So there we have it, Mandelson miss speaks, Osbourne lies. What an invideous little toad is in charge!

- Alan, carlisle uk

The world, and politics in general, became a worse place when Mandelson came back into public life in this country. He is at best a lying lowlife and having cheated on his mortgage and being forced to leave cabinets twice with resignations it was to be hoped he had gone away forever. Unfortunately not !

- E.Nuff, London

Mandelson wouldn't know the truth if it slapped him in the face. I expect that they are busy cooking the books before they hand them over to the Tories.

- Roger, Winchester, England

I'm surprised Cameron let's Osborne off the leash. He talks down the economy at times of national crisis, spills tabletalk to the nationals and appears to have difficulty in handling even the most basic of economic challenges - his childlike response to rising petrol prices, his belief ion the light tough regulation for the City, and his inability to tell the truth all pose questions for the British voters.

- Steve S, London


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