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Politicians are wary of imminent public anger on premiums, at the same time that workers face pay freezes and benefits are deleted.

Speaking on the sidelines of the Conference of international monetary Fund (IMF) in Washington, George Osborne said there was "encouraged" progress cross-border financial activities on excess profits and premium tax agreement.

Chancellor first proposed tax in its budget in June, but stated that it would be global agreement.Yesterday, he said: "" discussions gather pace .c ' is all the encouraging… very European Commission has suggested that this could be done at European level. ""

He added: "" the UK has an important role to the Bank on the complimenterC taxes' is good news that the debate is happening. ""

Mr. Osborne has already reached the banking industry with an annual fee of ￡ 2 5bn. Exceptional bonus last year's tax introduced by labour, raised ￡ 3 5bn and a new tax financial activities should provide a similar amount.

Politicians are wary of imminent public anger on premiums, with pay-outs in the city is expected to reach ￡ represents this year, according to the economy and research companies, as well as workers face pay freezes and benefits are deleted.

In addition, small businesses still struggle to guarantee loans made by banks - a situation that threatens the recovery. Mr. Osborne added by threatening tones: "banks would much attention to what I said [at the conservative Conference]."We are very clear that they get credit flowing to small and medium-sized enterprises.

Chancellor remains optimistic about his plans for fiscal consolidation in spite of IMF analysis showing that reductions can reduce growth and losses can take five years to récupérer.Dominique Strauss-Kahn, Director General of the IMF said yesterday that "the greatest threat to the financial viability is low growth" and "recovery without a job does not mean much".

Mr Osborne said: "we have a very credible plan." People [there] are quite complementary to me in private on our plans...No there is no discussion of concerns about the pace of consolidation. "On the job, he added sections of 600,000 public for detailed comprehensive spending review October 20 will be"over four years... He is not in force during the night".

The Government aims to ￡ 83bn spending cuts by 2015 as part of a package from ￡ 113bn to eliminate the structural deficit of ￡ 109bn.Le Chancellor would not pull if he had a "plan B" where growth falters, pointing out that his plan for consolidation "by the book".

If the Bank of England decided to restart his ￡ 200bn quantitative easing program to offset any slowdown in growth, he said that it would be favourable: "I believe that the Committee on monetary policy as indépendant.Si she stops, I don't want to follow these judgments."

Far from national issues, he signed the consensus on global imbalances – calling on China to consume more and deficit countries such as Great Britain, to at least spend. "We need to address fundamental imbalances .the ' accumulation of these imbalances transmitted through the financial system was the cause... is what happened…The United Kingdom is doing its part – seeking to resolve its imbalances.?

He made a veiled criticism of China attacked with United States contribute imbalances is artificially low, Sparks to speak of "currency war" currency policy. ""We must move towards market-oriented exchange rates that reflect the fundamental principles," he said.

Questioned regarding the outcry over to its proposals to reduce family allowances for top employees 15pc, he said that politics has demonstrated that the Government is "hard but fair". ""I will do what is necessary to make this fiscal consolidation," he said.

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