Labour promises 'iron discipline' to shore up fiscal credibility

Shadow chancellor John McDonnell tells Guardian restoring Labour's economic reputation is "struggle of generation"

Labour would borrow billions of pounds to fund public investment projects, while exerting an "iron discipline" over day-to-day spending, shadow chancellor John McDonnell has said, as he seeks to win back the party's reputation for economic competence.

In an interview with the Guardian, he described shoring up Labour's fiscal credibility as "the struggle of a generation", but insisted that exerting tight control over spending did not signal the abandonment of Jeremy Corbyn's anti-austerity stance.