Osborne warns Greek crisis hasn’t lost its bite

The Greek financial crisis has helped make the mood at international financial talks in Washington this week “notably more gloomy,” British finance minister George Osborne said on Friday.

“It’s clear now to me that a misstep or a miscalculation on either side could easily return European economies to the kind of perilous situation we saw three to four years ago,” he told reporters on the sidelines of meetings of officials from the Group of 20 and the International Monetary Fund.

“The crunch appears now to be coming in May, and it would be a mistake to think that the UK would be immune to a return to this instability in European financial systems and the European economy,” he added.