Downing Street Says

» Monday, June 21, 2010

G20/G8

Asked what the Prime Minister thought of President Obama’s letter to G20 leaders ahead of the summit, the PMS said that we agreed with what he said about the need for flexibility, in particular the point that implementation of fiscal policy needing to reflect the particular circumstances of the countries concerned, and that surplus countries need to expand domestic sources of growth. Different countries had different starting points and for some countries, such as our own, there was a need to get on and tackle the deficit more quickly.

Asked if there was concern regarding how different countries would tackle deficit, the PMS said that we had been very clear, and the G20 had endorsed the approach when the Finance Ministers met a couple of weeks ago, that it was important to tackle deficit, and that tackling deficit effectively was important for ensuring confidence, which would underpin the recovery. Equally, it was important to take measures to support growth.

Asked if Britain had a Plan B as President Obama suggested countries should have in his letter, the PMS said that the Government set policy in the light of circumstances. The Chancellor was clear yesterday that this Budget would be a Budget for the full Parliament.

Asked what the Prime Minister’s priorities at the G8 Summit would be, the PMS said that we could give more detail during the course of the week, but key issues would be the world economy and foreign policy, including Iran.

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G20/G8

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