Government planning 'massive increase in housing and infrastructure investment'

The government is planning a huge increase in housing and infrastructure investment, according to a report in this morning's papers.

An article in the Financial Times quotes the deputy prime minister Nick Clegg as saying that the government intends to use its balance sheet to underwrite housing and infrastructure schemes and to tackle youth unemployment.

Clegg told the paper that some officials in HM Treasury are hesitant about increasing spending, but said: "From the top of government, a few weeks ago we decided this was the route we're going to take. That's the instruction we've issued to the Treasury."


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