The Conservatives said Lady Vadera's comments showed that ministers were "insensitive and out of touch" with the economic reality facing millions of families.
Vince Cable, the Liberal Democrat treasury spokesman added that they showed she was "living in a parallel universe".
"With thousands of jobs being lost every day and many families at risk of repossession, recovery is sadly a long way off," he said.
"Ministers shouldn't talk down the economy, but Lady Vadera's comments are a work of fiction."
John Cridland, the deputy director of the CBI, said he had seen "no signs" of any economic green shoots, despite her claims.
Vince Cable, the Liberal Democrat treasury spokesman added that they showed she was "living in a parallel universe".
"With thousands of jobs being lost every day and many families at risk of repossession, recovery is sadly a long way off," he said.
"Ministers shouldn't talk down the economy, but Lady Vadera's comments are a work of fiction."
John Cridland, the deputy director of the CBI, said he had seen "no signs" of any economic green shoots, despite her claims.
Lady Vadera, a former City banker, become one of Mr Brown's closest aides as a Treasury adviser.
Now Minister for Competitiveness and Small Business, she has a seat at the Prime Minister's right hand in the open-plan Downing Street "command centre" where he oversees economic policy.
Now Minister for Competitiveness and Small Business, she has a seat at the Prime Minister's right hand in the open-plan Downing Street "command centre" where he oversees economic policy.
Oh, and Baroness Vadera does shriek
Baroness Vadera admitted yesterday that she verbally abuses civil servants.
Tim Walker
Last Updated: 6:54PM GMT 11 Dec 2008
"I shout at people sometimes," said the Business Minister, who is one of Gordon Brown's closest economic advisers. "I think I get to the point quicker than most people expect."
The succinctness of "Shriti the Shriek" has made her less than popular in some quarters at the Treasury, where she worked when Brown was Chancellor. Mandrake disclosed last year that she took a long trip to India to enable personal clashes in the department to be resolved.
Tim Walker
Last Updated: 6:54PM GMT 11 Dec 2008
"I shout at people sometimes," said the Business Minister, who is one of Gordon Brown's closest economic advisers. "I think I get to the point quicker than most people expect."
The succinctness of "Shriti the Shriek" has made her less than popular in some quarters at the Treasury, where she worked when Brown was Chancellor. Mandrake disclosed last year that she took a long trip to India to enable personal clashes in the department to be resolved.
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