UK taking on Opec

Saturday, 18 October 2008 9:00 AM

Gordon Brown has launched a withering attack on Opec following rumours the oil cartel is considering slowing oil production.

The prime minister described the move as "absolutely scandalous".

Speaking to business leaders in Nottingham, yesterday, Mr Brown said: "I think it is absolutely scandalous that Opec is thinking of meeting in the next few days to cut oil production so they can push up the price of oil again and we will certainly try and prevent this happening."

Several Opec countries - specifically Iran, Ecuador and Qatar - are suffering badly under the reduced price of oil, and see a drop in production as the most effective way to increase revenue.

Saudia Arabia, the most important member of the cartel, is understood to be for the move.

The price of oil has now fallen below $70 a barrel and an emergency meeting has been brought forward to next Friday.

Mr Brown reiterated his intention to reduce British dependence on oil.

"Our strategy is reducing our dependence on oil and by moving to a low-carbon economy, which means building nuclear power stations, we challenge the power of the cartels by our ability to diversify," he said.

Tags:
• economic policy
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• economy
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• foreign policy
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• middle east