Miliband on offensive over cuts

The Labour leader stepped up his attack on the deficit reduction plans as he sought to capitalise on momentum from the Barnsley by-election.

Research commissioned by the party from Landman Economics suggests that on average, couples with children stand to lose around 2,500 worth of public services annually.

That is over 1,000 more than those without children, according to the calculations.

Families where the main breadwinner is aged between 25 and 29 will lose the equivalent of 12 per cent of their income if they have children - and just 4 per cent if not.

Miliband told a conference of Labour councillors in London: "Not just the well-off, but the vast majority of people used to expect that their children will do better than them ... But there is now a real fear that the British promise will be broken and the next generation will find it harder to get on than the last."

Miliband also insisted that this week's by-election victory showed the Liberal Democrats were "humiliated".

"I think it's becoming clear to voters that, while there might - still - be three main political parties, there are only two directions for the future of our country," he said.