Prime Minister David Cameron has said his ministers have found examples of "crazy" spending, including paying out bonuses to three-quarters of all senior civil servants.

In response, former Chancellor Alistair Darling accused the new coalition government of "playing the oldest trick on the book" by blaming its predecessor for the state of the economy.

In response, former Chancellor Alistair Darling accused the new coalition government of "playing the oldest trick on the book" by blaming its predecessor for the state of the economy.