Osborne resists use of UK-backed EU fund for Greek emergency loan

UK chancellor says Britain paying towards bailout help is 'non-starter' but European commission considers idea of loan that would include 850m from UK

Europe is split over whether Greece could be offered an emergency loan from a central EU fund in a move that could require around 850m of financial support from the UK.

George Osborne, the chancellor, is furiously opposing the idea, saying it is a "non-starter", but the European commission confirmed it was under consideration in spite of British objections and German scepticism about the plan.