Jeremy Corbyn has attacked Gordon Brown for an “off-the-books accountancy wheeze” that he says helped cause the financial crisis for NHS hospitals.
He told business leaders “record deficits” in NHS trusts were built up by Mr Brown’s policy of Private Finance Initiative, which rebuilt old hospitals using lengthy contracts with firms.
Speaking at the British Chambers of Commerce conference today, he compared the scheme with dodgy banking practices that led to the 2008 crash.
“The last Labour government lacked the confidence to make the argument to borrow to invest and so it did what banks thought they could get away with before the crash — an off-the-books accountancy wheeze,” he charged. “In both cases, putting debt off the books did not work, it came back onto the books and helped trigger crisis.”
Mr Brown’s allies said his record of building hospitals was one of Labour’s proudest achievements. The ex-premier last year issued a warning to Mr Corbyn that he would achieve nothing unless he made himself “electable”.
