The Independent Office for Budget Responsibility said the spending plans outlined in the Budget would lead to a "sharp acceleration in cuts to public spending", resulting in even deeper cuts in the early years of the next Parliament than those of the last five years.

Labour’s fairer and more balanced approach to the economy will put working families first, create jobs for young people across the UK, and maintain investment in public services.

Ms Jamieson said: "This was a depressing budget from a discredited Government. Ordinary working families are £1600 a year worse off after five years of the Tories, and the really worrying thing is that George Osborne is just getting started: his extreme and dangerous cuts will be even deeper over the next five years. We can't afford another five years of Tory failure.

"A Labour Government will adopt a fairer and more balanced approach which will address the root causes of inequality and the cost of living crisis. We will reverse the Tories' tax cut for millionaires, and introduce a new 10p starting rate of tax to help millions of people on low and middle incomes.

"We will take action on low pay by increasing the Minimum Wage to £8 per hour, incentivising payment of the Living Wage and banning exploitative zero-hours contracts.

"We will create thousands of jobs for young people, funded by a tax on bankers' bonuses, and provide 1000 more nurses for our NHS, paid for by a tax on mansions worth over £2 million.

"The Tories want to slash public spending and the SNP want to scrap the Barnett Formula, leaving a £7.6 billion hole in Scotland's finances. Only Labour's better plan for the economy will secure rising living standards and increased prosperity for the many, not just a few at the top."