And so at last the real cutting begins. A new hospital in Hartlepool. A business loan that would have guaranteed hundreds of jobs in Sheffield. A huge modernisation programme for libraries.
All gone in a flash, along with another £2bn worth of projects apparently approved by Labour in its last few months in office, though in the case of the hospital, it seems to have been in the pipeline for rather longer than that.
And at last, too, some real passion from Labour in opposing the Con-Lib coalition's programme of cutbacks - both from Liam Byrne on the floor of the House on Thursday, and later from David Miliband in the BBC studios.
The defeated party finally found its voice as Mr Byrne, the man who came close to making it a laughing stock with his 'sorry, there's no more money' note to his successor, managed to redeem his own somewhat battered reputation.
The shadow chief secretary told Lib Dem opposite number Danny Alexander: "The country....will be aghast at your attack on jobs, your attack on construction workers, your attack on the industries of the future and the cancellation of a hospital.
"In five minutes this afternoon you have reversed three years of Liberal Democratic policy of which you were the principal author. What a moment of abject humiliation."
Mr Miliband went even further, when invited onto the BBC's Newsnight that evening to discuss the cuts - in particular the cancellation of the £80m loan to Sheffield Forgemasters.
"We were looking to facilitate a genuine industrial revolution in the North of England. It's been thrown away by an act of gratuitous economic vandalism," he said.
The sense of outrage that finally welled-up from senior Labour politicians this week has been long brewing.
As I wrote last week, the government is making a very determined effort to construct a political narrative in which "irresponsible" Labour is blamed for wrecking the economy and leaving a mess for the coalition to clear up.
It is, however, in danger of gilding the lily - just as New Labour's own 'repeat messaging' of its achievements ultimately caused people to disbelieve everything it said.
Indeed, the new Office for Budget Responsibility this week found that, far from being irresponsible, previous Chancellor Alistair Darling had been too cautious in his borrowing forecasts, and that it will actually be £22bn lower over the next five years.
Some of Labour's leadership contenders have appeared reluctant to defend the previous government's record, two of them even claiming they were against the Iraq War even though they were government advisers at the time.
But rather than let the coalition traduce its economic legacy and use that as a justification for cuts, Labour needs to take the fight to its opponents.
Sure, the Brown government was not perfect. But it was doing no more than following classic Keynesian economic theory - that you stimulate spending to achieve recovery, then wait for tax revenues to eat into the deficit before making cuts.
I for one am pleased that at least one of the contenders is prepared to defend that perfectly respectable position.
One of the main criticisms against David Miliband as a leadership candidate has been that he is simply too cerebral, that he lacks the moral passion to energise a movement which Harold Wilson rightly termed "a moral crusade or nothing."
Well, on Thursday night, we saw the South Shields MP try to answer some of those criticisms.
Some called his Newsnight performance a "rant." Some even questioned his fitness for office. But for me, it was no more than a recognition of one of the iron laws of politics.
Namely, that before you can be Prime Minister, you have first to make a success of being Leader of the Opposition.