Darling predicts end of recession

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The chancellor has reiterated his view that Britain will join other leading economies in moving out of recession "round the turn of the year".

Alistair Darling said risks to the global economy remained, but he was confident growth would return.

In a Guardian article ahead of a meeting of G20 ministers, he also said the government would "spend whatever we can" to keep people in work.

And Mr Darling pledged an extra £7bn to the International Monetary Fund (IMF).

I am determined the recovery will be sustainable and lasting, that no-one should be consigned to the scrapheap Alistair Darling

The cash to help poorer countries get through the recession almost doubles the £9.2bn ($15bn) which the government pledged to the IMF in April.

He wrote: "My priorities are clear: keeping people in work, getting credit flowing and getting public spending on a sustainable footing in the medium term.

"I am determined the recovery will be sustainable and lasting, that no-one should be consigned to the scrapheap, like so many were in the recessions of the 80s and 90s."

Mr Darling criticised the Conservatives for "appearing to wallow" in the prospect of swingeing cuts to public spending.

Tax rises

He also said Tory leader David Cameron and shadow chancellor George Osborne were unwilling to spell out the economic and social consequences of what they planned.

The chancellor went on: "In the past 12 months we have committed an additional £5bn to make sure that we don't leave people to languish on the dole.

"And in the run up to the pre-Budget report I will consider further measures."

This last pledge comes as people prepare to feel the effect of several tax rises, including the 2p rise in fuel duty on Tuesday, the return of VAT to 17.5% in January and the end of the stamp duty holiday.