Ed Miliband has urged the Government to "change course" on the economy as he declared the coalition's austerity measures were "not working".
The Labour leader accused the coalition of failing to meet their deficit reduction plans and called for a temporary cut in VAT to help boost the economy.
On the opening day of Labour's annual conference in Liverpool, Mr Miliband told BBC1's Andrew Marr Show that he acknowledged that the deficit had to be cut.
But he insisted the best way of achieving that was by growing the economy to ensure that people were in work, paying taxes and off benefits.
"The problem with the Government's strategy is that they don't understand that," he said.
He went on: "I think we've seen a big change over the last year, which is a year ago there was a contested argument about whether the Government strategy should work.
"It's not working, it's not working for Britain because unemployment is going up, and it's not working even to cut the deficit because unless you grow the economy you can't cut your deficit."
Mr Miliband also said Prime Minister David Cameron needed to show "international leadership" on the continuing economic crises.
"There is an absence of leadership and I say to the Prime Minister 'put the politics aside, start showing some leadership'," he said.
He admitted that he would be making cuts himself if he were prime minister, but said growth was the "absolute missing ingredient" in the Government's plans.
Ed Miliband has urged the Government to "change course" on the economy as he declared the coalition's austerity measures were "not working".
The Labour leader accused the coalition of failing to meet their deficit reduction plans and called for a temporary cut in VAT to help boost the economy.
On the opening day of Labour's annual conference in Liverpool, Mr Miliband told BBC1's Andrew Marr Show that he acknowledged that the deficit had to be cut.
But he insisted the best way of achieving that was by growing the economy to ensure that people were in work, paying taxes and off benefits.
"The problem with the Government's strategy is that they don't understand that," he said.
He went on: "I think we've seen a big change over the last year, which is a year ago there was a contested argument about whether the Government strategy should work.
"It's not working, it's not working for Britain because unemployment is going up, and it's not working even to cut the deficit because unless you grow the economy you can't cut your deficit."
Mr Miliband also said Prime Minister David Cameron needed to show "international leadership" on the continuing economic crises.
"There is an absence of leadership and I say to the Prime Minister 'put the politics aside, start showing some leadership'," he said.
He admitted that he would be making cuts himself if he were prime minister, but said growth was the "absolute missing ingredient" in the Government's plans.