Vince Cable calls for relaxation of spending controls

Business secretary opens up division with Tories by calling for investment in skills training and rail schemes

Vince Cable has warned that the next government must relax Whitehall spending budgets to support training and infrastructure projects in a move seen as taking the Liberal Democrats closer to Labour before the general election.

In a speech in the City, the business secretary attacked the "archaic" way that public spending was controlled, calling for changes to boost areas such as skills training and new rail schemes.