Tory leader David Cameron attacked the Chancellor's Budget, accusing the Prime Minister and Mr Darling of "living in an entirely different world from everyone else".

Rising to Conservative cheers after the 50-minute statement, Mr Cameron said Mr Darling delivered the Budget "with all the excitement of someone reading out a telephone directory".

He said the UK had the highest tax burden in its history and the highest budget deficit in Western Europe.

Figures indicating that borrowing would increase by £20 billion over the next four years were "truly dreadful". The UK had the highest interest rates in the G7.

"That means that on top of high taxes, homeowners and businesses have a high interest rate burden too."

He went on: "People watching this Budget will conclude that the Chancellor and the Prime Minister live in an entirely different world from everyone else."

He said every time people got a new mortgage, filled up their car, shopped at the supermarket, they had to pay more.

"The cost of living is going up and Labour is making it worse."

He added: "High debt, high interest rates, high taxes and now lower growth. Those are the facts that this Budget cannot hide."

The Government should help people when times were tough instead it "kicks them when they are down".

mf Mr Cameron said the figures in the statement "tell the story of just how badly prepared we are for the downturn."

"In the years of plenty they put nothing aside. They didn't fix the roof when the sun was shining. What better metaphor than today when it started to blow off at Number 11 Downing Street.

"What we needed in this Budget was real leadership and a serious plan to get the country out of the mess they have made.

"What we need is a Government that helps people when times are tough. Instead we have got a Government that kicks them when they are down."

The "key question" was if there was enough room for manoeuvre left for difficult economic times.

"The answer with this Government is no room for manouvre at all."

On debt, Mr Cameron said: "They said they would borrow £47 billion over the last five years, in fact they have borrowed £165 billion, that is over £100 billion more debt than planned. Today it is worse again."

He added: "We are ill-prepared on fiscal policy."

mf Mr Cameron went on: "While our competitors are cutting taxes on enterprise, the Chancellor confirmed he is putting taxes up.

"Capital gains tax up by £700 million, that is when we are heading for a downturn. Taxes on family businesses - up by £200 million.

"Corporation tax on small businesses - that is a tax up £800 million as we head for a downturn.

"It is a crazy way to respond to a slowdown, hitting the very people that create the wealth, the jobs and investment that this country needs so badly."

Mr Cameron said the true extent of the Chancellor's "dreadful predicament" was "the fact that you are abolishing the 10p starting rate of tax."

"That is the tax con they all cheered so loudly last year and soon they are going to find out what it means."

The Tory leader said the change would mean low-paid workers - such as those in the NHS, teaching assistants and soldiers "fighting in the heat and dust of Afghanistan" would pay more tax.

"That is the consequence of the tax con ... 5.3 million of the lowest paid will be worse off."