In other words, the IMF made a bad situation even worse. Further, it added the overtly political observation that the plan would increase inequality. Whatever one might think about the fiscal wisdom on Trussonomics, it really is none of the IMF’s business whether budgetary measures increase or decrease inequality. This is a matter for domestic political debate, not the holier-than-thou judgment of organisations such as the IMF. It is outside their remit.
Among the institutionalised lefties that actually inhabit the international infrastructure that inequality is bad, per se and overall, is now generally accepted. “But that will increase inequality” is proof perfect that the thing should not be done.
Things like The Spirit Level are indeed the most ghastly junk science, but very influential all the same.