ymu
Niall Ferguson's deep-cover sock-puppet
Tbf Labour did make some horrendous fuck-ups. Agricola is quite right to point out that a lot of the money Labour did spend, it spent badly. Tipping huge amounts of money into the privatised railway rather than grasping the nettle and renationalising the lot (for British Rail in its later years was a lot more efficient and required far less of a subsidy than the railway does now) is one good example. Another is the PFI, which even the Major government had realised was a bad idea since, although it kept the initial outlay on schools and hospitals (which was much needed after eighteen years of Tory neglect!) off the government's books, it tied the Treasury into very long-term commitments of money for no benefit. One could also point to the way Labour unquestioningly accepted the Tory idea that the NHS (and much of the rest of the public sector) should ape the private sector, with a split between clients and providers and an internal market, leading to endless bureaucracy and all kinds of unnecessary costs.
Seems to me, in fact, that where Labour did fuck up, it usually did so by trying to be Tory. Which is why the Tory critique of Labour's record in office is just hypocrisy, given that a) as you point out, Osborne was pledging to match Labour's spending plans, and b) it's extremely difficult to argue that a Tory government over the last decade would have done much better than Labour at cooling down the overheated housing market or regulate the over-powerful and irresponsible financial services sector any more tightly, both of which left us badly exposed to the recession.
I agree. But that wording - and it could have been better - refers to the specific question of the size of the debt relative to GDP. It just wasn't a problem. It was at a very low level, lower than most of the preceding century. Spending was not too high. It may have been relatively high, but that boosts GDP - that's why we spend. It was being spent badly in many ways, I agree, but it was doing the job of boosting GDP, albeit on a very short-termist outlook (inevitable if the polity has a short-term electoral cycle).