White House plays down hopes of G20 deal

British Prime Minister Gordon Brown’s hopes of forging a “global new deal” at next month’s G20 summit were in the balance today, amid growing opposition in Europe and signals from Washington that President Barack Obama is not expecting to seal an agreement in London.

Mr Obama, backed by Mr Brown, has been calling for the world’s 20 leading economies to co-operate in a twin-pronged response to the world recession, using fiscal stimulus packages to boost demand while also reforming international financial regulation.