Brown confident over stimulus deal - News in brief - Evening Standard
       

Brown confident over stimulus deal

Gordon Brown has insisted he is confident of agreeing a recession-fighting package at next month's G20 - despite signs that he may struggle to get all countries to sign up to the prospect of further fiscal stimulus measures.

The Prime Minister sought to present a united front with his German counterpart Angela Merkel as she visited Downing Street ahead of the London Summit.

But, at a joint press conference following their meeting, the German Chancellor played down the need for any additional fiscal injections beyond those her government was already committed to.

Their talks came as Alistair Darling was pressing the finance ministers of all leading economies to make an "explicit commitment" that they are prepared to take further fiscal action if necessary.

Standing alongside Ms Merkel in Number 10, Mr Brown said: "Of course we will review this as we look at what we do at the G20.

"But I think you will find that countries will be agreeing together about what we are going to do in future, both in fiscal and monetary policy and in the regulatory system.

"I believe that we are setting a path with the G20 where one by one we are reaching agreement on the big issues for the future."

However, Ms Merkel stressed that Germany had already committed to a fiscal stimulus worth 4.2% of GDP, putting her country in the "vanguard".

She went on to suggest any talk of further actions were premature as the current package was yet to be implemented fully.

"Nothing has actually taken effect on the ground," she said through an interpreter. "If we want to strengthen the effect of such packages we will simply have to implement them first."

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