Shadow Finance Minister, David Burt, has condemned Government’s strategy of “across the board cuts” to tackle Bermuda’s financial problems.

He also accused the One Bermuda Alliance of “a stream of policy reversals in the last 72 hours” that proved cuts alone would not solve the Island’s problems.

Pointing to the latest developments concerning the proposed closure of the recycling plant and the planned consolidation of schools as examples of these “policy reversals”, Mr Burt urged Government to focus on “efficiency”.

Mr Burt was responding to a breakdown of the Ministry of Finance’s budget, which was provided by Economic Development Minister, Grant Gibbons, who was standing in for Finance Minister, Bob Richards, at yesterday’s House of Assembly sitting.

“I find it very interesting when the Ministry of Finance and the OBA talk about a two track strategy, of reducing expenditure and growing the economy,” said Mr Burt.

“It seems to be just one track, and we continue to see economic contraction.

‘It is most important for Government to focus on efficiency.

“We have seen a stream of policy reversals in the last 72 hours and it shows that you can not cut across the board and think it is going to work.”

Mr Burt claimed that Government was guilty of “doubling down” in their budget, which he said would only cause more weaknesses in the economy.

“It’s important we talk about the overall direction.

“I challenge the Minister of Finance to look at the experience of the Progressive Labour Party and other Governments.

“I can promise you that the Minister of Finance is not the first to inherit an economy in recession. He does not have to reinvent the wheel. This stuff has been done before.

“There is a way you increase your budget targets, but not by cutting budgets across the board. We have found out from experience this does not work.”

Responding to Mr Burt’s claims Mr Gibbons dismissed the idea that Government had implemented cuts across the board in its budget.

He said: “Does the decrease in spending by Government impact on the economy?

“I suspect it does to some degree.

“But what we have said is that when you have an economy in free fall it takes a while to turn it around.

“To suggest that is down to the budget is a bridge too far.

“We do have a two track strategy and it is imperative we reduce the deficit.”

Mr Gibbons detailed the loans that Government had taken out in recent years and stated the interest payments on Bermuda’s debt were $117.6 million.

He added: “It is wrong to suggest there are across the board cuts. Every ministry was asked to look and see where they could affect savings. There are a number of areas that have increased, while others have been decreased quite a bit. But until we can eliminate the deficit we are never going to pay down the debt.”