Euro-area leaders agreed that the European Stability Mechanism (ESM), their new permanent rescue fund, would be able toinjectfunds directly into banks rather than via loans to the government.
It would oblige taxpayers toinject more funds into Lloyds and RBS, and that is the very last thing (literally) that the Chancellor wishes to do, and could be career-terminating for him.
"Whilst I appreciate that the consortium mentioned in the media today does have access tofunds, at no time did we receive a written commitment, proposal or offer toinject an amount of money into this club, " Trembling said.