Rishi Sunak yesterday doubled down on warnings that a Labour election victory would cost the average working household more than £2,000 in higher taxes – as Sir Keir Starmer branded him a liar.
Rattled Labour frontbenchers launched a furious rearguard action after Sir Keir failed to challenge the figure 12 times during Tuesday night's TV debate.
Labour also seized on a letter from a senior Treasury official which questioned the presentation of the figures.
But the Prime Minister stuck by the warning, and Tory strategists plan to put it at the centre of the party's election campaign in the coming days.
In the wake of Tuesday night's ITV debate, Mr Sunak said Sir Keir 'couldn't have been clearer' that Labour's plans 'will cost working families £2,094'.
Rishi Sunak doubled down on warnings that a Labour election victory would cost the average working household more than £2,000 in higher taxes – as Sir Keir Starmer branded him a liar
Rattled Labour frontbenchers launched a furious rearguard action after Sir Keir failed to challenge the figure 12 times during Tuesday night's TV debate
In a message on social media, he added: 'In uncertain times we simply cannot afford an uncertain Prime Minister.
'Keir Starmer will raise your taxes, don't hand him a blank cheque.'
Sir Keir hit back angrily last night, accusing the PM of 'lying' and suggesting he may have broken the ministerial code.
The main parties had been expected to observe an informal truce during the commemoration of the 80th anniversary of the D-Day landings yesterday.
But with rattled Labour strategists fearing that the £2,000 figure may stick in the minds of voters, Sir Keir decided to break cover.
Labour has insisted it will not raise taxes on 'working people' and has ruled out increases in income tax, National Insurance and VAT.
Speaking to reporters in Portsmouth, Sir Keir said the PM had 'lied about our plans', adding: 'What you saw last night was a sort of bright light on the character of the Prime Minister, because when his back was against the wall, what did he do?
'He lied, and he knew he was lying. I don't say that lightly. That's not something I banish around.'
Treasury minister Bim Afolami accused Sir Keir of making the incendiary claim to 'distract people' from the truth about his plans.
The tax figure used by Mr Sunak was produced in a dossier released by Chancellor Jeremy Hunt last month, which is based largely on Treasury analysis of Labour's plans.
The document found that Labour's published plans would cost £38.5 billion more than its proposals for tax rises would generate.
Mr Sunak challenged Sir Keir over the figures repeatedly during Tuesday's ITV debate with Julie Etchingham, which was watched by more than five million viewers
The figure is equivalent to an increased tax burden of £2,094 per working family over the expected four-year life of the next parliament.
The figure is based on analysis of 27 commitments made by Labour.
Treasury officials conducted the analysis of 21, with the remainder based on either Labour figures or independent analysis.
Mr Sunak challenged Sir Keir over the figures repeatedly during Tuesday's ITV debate, watched by more than five million viewers.
Sir Keir initially avoided the issue, and his reluctance to push back alarmed Labour officials.
Energy Secretary Claire Coutinho said the Labour leader's reluctance to challenge the figure was 'very telling'.
She said the figure was based on 'official costings from the Treasury', adding: 'I've worked in the Treasury and I can tell you that these are brilliant, independent civil servants and they would not be putting anything dodgy in there.'
Laura Trott, Chief Secretary to the Treasury, rejected Labour's claims that Mr Sunak lied.
She said: 'What is absolutely clear is that due to independent analysis, Labour have a £38 billion black hole in their policies.
'That will lead to £2,000 in extra taxes for every family up and down the United Kingdom.
'This is underpinned overwhelmingly by Treasury analysis so if people think Labour are going to win this election they need to start saving.'
But shadow paymaster general Jonathan Ashworth said: 'I feel that Rishi Sunak was exposed as desperate – desperately lying about Labour's tax plans, making accusations about Labour's tax plans which are categorically untrue – Labour will not put up income tax, will not put up National Insurance, will not put up VAT.'
In a letter to Labour, Treasury permanent secretary James Bowler said ministers had been asked not to attribute the £38.5 billion to impartial civil servants. He said the figure 'includes costs beyond those provided by the Civil Service'.
But Tory sources said the Treasury analysis of more than 20 Labour policies was available for anyone to read on the government website.
Debate viewing figures down on Boris v Corbyn
The first head-to-head TV debate between Rishi Sunak and Sir Keir Starmer was watched by an average of 4.8 million viewers, down by more than two million on the 2019 equivalent.
Tuesday night's showdown, which saw combative exchanges on issues such as tax increases and immigration, aired at 9pm and lasted for more than an hour.
But the audience fell far short of the nearly 6.9 million who had watched Boris Johnson lock horns with Jeremy Corbyn in the 2019 opening TV debate, also on ITV.
TV election debates became part of the political landscape in 2010, when the first of the televised exchanges attracted nearly 10 million viewers.