The banning of unsolicited credit card cheques, the strengthening of consumer rights and measures to promote more sensible lending are among the policies contained in the Consumer White Paper.

Credit card cheques can be used like personal cheques, with the value of the transaction added to the borrower's card balance.

But the interest charged on the cheques is usually far higher than if a credit card had been used to make the same purchase.

And handling fees often of 2% of the value of the transaction are also charged, and there is no interest-free period.

The Office of Fair Trading estimated in 2006 that people could be paying up to £57m a year extra in interest and charges by using the cheques rather than a credit card.

Consumer Affairs Minister Kevin Brennan will launch the White Paper at an event in London, hosted by consumer group Consumer Focus.

Prime Minister Gordon Brown said: "Whenever you see sharp practices, banks or credit cards adopting practices that are in many ways irresponsible, you've got to act.

"So where there is doorstep lending, or unsolicited credit card checks, or people being offered higher limits without an explanation for that, to encourage irresponsible behaviour, I think we've got to act on behalf of the consumer."

"I think it is right we act on behalf of all consumers to make sure that financial institutions cannot act irresponsibly against them and we route out sharp practices in the industry."

The moves comes as a survey shows that one in five people have had their credit card limit increased without their consent during the past year.

Around 19% of card users have received letters from their credit card provider saying they have increased their spending limit without them asking for it.

The average person has seen their credit limit rise by just over £1,500, according to comparison website uSwitch.com.

The group warned that a higher credit limit could tempt people to spend more than they could afford.

Its research found that only 68% of credit card users cleared their debt in full each month.