Brown: 'The tough truth about hard choices'

Gordon Brown has admitted that spending cuts would be needed during a speech to the TUC in Liverpool.

The prime minister said "hard choices" were needed.

He added: "We are doing the right thing to make sure that for the future as we move into a full recovery we will invest and grow within sustainable public finances - cutting costs where we can, ensuring efficiency where it's needed, agreeing realistic public sector pay settlements throughout, selling off the unproductive assets we don't need to pay for the services we do need."