BRITAIN could face a decade of "Brexit austerity", a former cabinet minister has claimed.
Liberal Democrat MP Sir Ed Davey's warning came as the SNP insisted people will not be "bought off" with a 50p coin celebrating Brexit when Leave campaigners promised up to £350 million a week for public services if the UK left the EU.
Kirsty Blackman, the SNP's economy spokeswoman, said people and families across the UK have had to "pay for the fallout" of the 2008 international banking crisis, which included the collapse of Lehman Brothers, and the global downturn which followed.
She said this included a decade of wage stagnation, cuts to services and the most vulnerable in society being "hit the hardest by Tory austerity", adding during the Budget debate: "Looking forward, we're staring into the abyss that is Brexit."
Ms Blackman said households cannot afford to lose more money nor a "Tory Brexit", telling the Commons: "I cannot think of time a time in the past where a country has committed such a foreseeable act of economic self-harm.
"The Chancellor doesn't believe we'll be better off after Brexit, the prime minister doesn't even believe we'll be better off after Brexit, we were promised £350 million a week for public services – we won't be bought off with a commemorative 50p coin."
Intervening, Sir Ed asked: "Does she agree with me that after a decade of Lehman austerity, we could be facing a decade of Brexit austerity?"
Ms Blackman replied: "I absolutely agree."
She referred to the "economic catastrophe that is coming down the line" as a result of Brexit before arguing that staying in the EU is the best option for the economy followed by staying in the single market and customs union.
Opening the second day of the Budget debate in the Commons, shadow chancellor John McDonnell challenged the government to hold a general election and told MPs: "Bring it on."
Mr McDonnell said Chancellor Philip Hammond's Budget served only to reveal how "out of touch" the government was with reality.
"Austerity is not ending, in the weeks and months ahead people will recognise that the prime minister's promise has been broken," he said.
"Do you know there are rumours that this was possibly a pre-election Budget with pre-election tax giveaways?
"If the Conservatives are contemplating a general election, let me say on behalf of the Labour Party: Bring it on."
Mr McDonnell attacked the government's handling of the Brexit negotiations, saying it had "spent more time negotiating with itself than with our European partners".
Time was running out, he said, to present a deal that could respect the result of the referendum and win the support of the House.
The burden of austerity, he added, had "fallen disproportionately" on the shoulders of women, with the 1950s women treated "so unjustly" and looked over once again.
For the government, Health Secretary Matt Hancock mocked Labour leader Jeremy Corbyn's liking for reading out letters from individuals at PMQs by pretending he had been sent a letter from Mr McDonnell.
"We received one representation from a John from Hillingdon and he called for a 2.2 per cent increase in funding, and John said, and I quote, this would make the NHS 'the envy of the world'.
"While others might preach a gospel of envy, we're getting on with building an NHS to be there for us all.
"The £20 billion increase I've been talking about is not just a 2.2 per cent increase a year, it is a 3.4 per cent increase every year over the next five years."
Shadow health secretary Jon Ashworth, MP for Leicester, shot back with his own jibe.
"Here's a representation from Jonathan from Leicester," he said.
"Can he confirm that in the spending review next year the cuts we have seen to capital budgets and the £7 million cuts we have seen to the public health budget will be reversed and capital, training and public health budgets will see real terms increases?"
Mr Hancock was unable to give that guarantee, saying "the spending review is next year" to shouts of "Ah" from Labour MPs.
"What I can guarantee is the £20.5 billion increase in NHS spending, which is the biggest increase in any spending commitment for any public service in the history of this country," he said.
"What we are acutely aware of on this side of the House is this is not government money and this is not NHS money – this is the hard-earned money from taxpayers and we need to make sure it is spent wisely.
"When he [Mr Ashworth] sprays his spending commitments around, the front bench opposite would do well to remember that this is the money from taxpayers."
