The threat facing the global economy is as serious as in 2008, Prime Minister David Cameron said – adding that Britain's deficit-cutting plans would pay off in the end.
Speaking at the annual conference of the Conservative Party, Cameron said that Britain would not get "sucked into endless bailouts" of countries in the European single currency.
"As we meet here in Manchester, the threat to the world economy - and to Britain - is as serious today as it was in 2008 when world recession loomed," Cameron said.
"The eurozone is in crisis, the French and German economies have slowed to a standstill; even mighty America is being questioned about her debts," he added.
Cameron said his government's austerity programme was justified.
"It means governments - all over the world - cutting spending and living within their means. This coalition government, Conservatives and Liberal Democrats, Nick Clegg and I - we've led the way here in Britain. Our plan is right. And our plan will work."
Cameron said cutting the deficit was his top priority, while tax cuts were not.