PM vows to protect financial system

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The Prime Minister said the dramatic failure of President George Bush's rescue plan was "very disappointing", but insisted the Government here was taking "decisive action" to tackle problems.

Speaking in Downing Street, Mr Brown refused to say whether he thought any more UK financial institutions would be threatened by events in the US.

"The vote in America is very disappointing," he said. "The Governor of the Bank of England, the Chancellor and I will take whatever action necessary to ensure continued stability for Britain. The stability of our system is something that we are doing everything in our power to maintain."

Mr Brown pointed to the nationalisation of Bradford & Bingley's mortgage book as evidence that he was taking "decisive action" to protect the public.

Meanwhile, a new poll says Gordon Brown is viewed by the public as better in a crisis than David Cameron, while support for Labour is showing signs of recovery.

The ComRes survey for The Independent suggested the Tories' lead over Labour had been cut by more than a third in the last month. It reinforces the findings of a series of polls taken since Labour's conference last week showing the party closing down on the Tories.

The poll puts the Tories on 41% (down three), Labour on 29% (up four) and the Liberal Democrats on 18% (up one). It also shows the Prime Minister's personal ratings higher than his Tory counterpart's in terms of the current financial turmoil.

Some 43% see Mr Brown as "best in a crisis" compared with 33% for the Tory leader. The Premier is also more trusted on the economy by 43% to 33%.

The findings suggest voters are convinced by the Prime Minister's claim last week that his experience makes him better-placed to guide the country through its present difficulties.