Brown avoids apologising for recession

British Prime Minister Gordon Brown has ducked the chance to apologise for the recession despite a call from his chancellor to show "humility" over its role in the economic crisis.

Alistair Darling used a newspaper interview to claim there was a "collective responsibility" for the way the bonus culture in the banks had been allowed to develop, saying: "All of us have to have the humility to accept that over the last few years, things got out of alignment."

During his trip to meet US President Barack Obama in Washington, Mr Brown was repeatedly asked if he shared Mr Darling's comments but avoided commenting on the issue directly.

He said: "There has got to be big regulatory change. We have just been talking, Barack and I, about the need for proper supervision of shadow banking systems, areas where there were banking practices that weren't acceptable, where remuneration got out of hand and wasn't based on long-term success but short-term deals.

"These are changes we have already announced. We have learnt from what has happened over these last 10 years.

"Things have happened in every part of the world. We have got an international financial system that we have now got to show can be brought to work in the public interest.

"Every country is learning and every country is taking action. What we have been talking about is how by us taking action, Britain and America, we can help other countries join us in working for a more stable and effective financial system."

Brown has consistently argued that the current crisis originated in the United States with the collapse of the sub-prime mortgage market.

His comments in the US contrasted with the contrite tone of Mr Darling, leading to speculation that a rift may be growing between the two long-time colleagues.

Another Cabinet member and Brown confidant also recently acknowledged that the British government had not been tough enough when it came to regulating the City.

Children's secretary Ed Balls, a former Treasury adviser and later Treasury minister when Brown was Chancellor, denied however that he had put pressure on the British Financial Services Authority or the Bank of England to adopt a "lighter" regulatory approach.

"In retrospect, it is clear we were nowhere near tough enough," he said.

"But all the times when we were being tough, the City, but also the Conservatives, consistently said, 'You're being too tough, be a lighter touch'".