Ahead of the G20 summit in London this week, Gordon Brown travelled the globe desperately trying to persuade world leaders of the need for a further coordinated fiscal stimulus. But not only did he fail to persuade most European leaders, including the most important, the German Chancellor - he has now lost support of his own central bank Governor.
The Government's economic policy lies in shreds. The IMF has said no nation is going downhill more rapidly than Britain.
There was a further humiliating irony in the British PM being lectured on debt management by the President of a Latin American country no less, when in Chile last week. Meanwhile back home there was not enough market demand to cover the sale of Government debt in a gilt auction.
Gordon Brown has now been forced to accept the argument that a discretionary debt-funded fiscal stimulus could make things worse. At the heart of this economic crisis is a credit crunch - a debt crisis for which we need a credit solution, including a substantial loan guarantee scheme.
Last week's events leave Gordon Brown's political plans for the G20 and the Budget in tatters. The Prime Minister has lost authority over economic policy at home and abroad.
