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CBI: deficit the priority

Employers' organisation the CBI, said it urgently wants the government to bring the deficit down.

Speaking to The Guardian, boss Richard Lambert said that neither Chancellor Alistair Darling nor George Osborne, will be able to ignore the state's finances.

"We need to be more ambitious. There is not as much difference between the government and the Conservative party as the spinners would suggest."

Lambert said he is worried about the dearth of finance, especially for SMEs without access to capital markets. He's concerned that a lack of working capital will lead to an increase in insolvencies during the early stages of an upturn.

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