What inflation? What debt?

Ok, so Fraser’s already mentioned Brown’s denial over the state of the economy.  But this whopper that our Prime Minister just issued in an interview with Nick Robinson can’t go unmentioned:

“Because we’ve got low inflation we can cut interest rates, because we have had low debt, we can afford to keep our public spending programme in line.”

Low inflation?  Low debt?  I’ll leave the response to CoffeeHouser RW:

“As for Brown, if he really believes the rubbish he’s currently spouting then he’s seriously deluded, and if he doesn’t but keeps on saying it anyway he’s not just incompetent but malevolent.”