David Cameron has warned that the world economy is at a "moment of danger", amid fresh fears that eurozone crisis is spiralling out of control.
With stock markets plunging again on speculation that a Greek default could be close, the Prime Minister said decisive action to prop up the single currency is "vital".
The comments came as EU finance ministers met in Luxembourg for the latest round of talks on how to stabilise the chaotic situation.
Share prices have continued to fall around the globe following Athens' admission on Monday that it will miss its deficit reduction targets, and on concerns about stalling growth.
The FTSE 100 Index was 2.6% lower at 4944.4 on Tuesday, closing below the 5,000-point mark for the first time since July 20
Speaking to the BBC at the Conservative Party conference in Manchester, Mr Cameron said: "I think there are some very serious clouds on the horizon, chief amongst them is the problems in the eurozone where the French economy, the German economy have both stalled, and that is a real problem for the British economy.
"I think what we've got to do is line up the problems. Dealing with the eurozone, that's absolutely vital, then we've got to the look at the British economy and say look we've got a deficit reduction plan, that's good, that keeps our interest rates low, but we need more on the growth front."
The premier said he is acting in "Britain's national interests" by encouraging the eurozone to integrate further to tackle the current problems.
He stressed that non-single currency members would require "safeguards" to protect their interests as the necessary reforms are implemented.
Mr Cameron admitted that European leaders had not reacted decisively enough to deal with the Greek debt problems over the summer. Asked if there had been a lack of urgency, he replied: "I acknowledge that. Part of the problem is the Greek programme that was put in place, the milestones that they have to hit, people in the eurozone expected that to happen. That has not happened."
David Cameron has warned that the world economy is at a "moment of danger", amid fresh fears that eurozone crisis is spiralling out of control.
With stock markets plunging again on speculation that a Greek default could be close, the Prime Minister said decisive action to prop up the single currency is "vital".
The comments came as EU finance ministers met in Luxembourg for the latest round of talks on how to stabilise the chaotic situation.
Share prices have continued to fall around the globe following Athens' admission on Monday that it will miss its deficit reduction targets, and on concerns about stalling growth.
The FTSE 100 Index was 2.6% lower at 4944.4 on Tuesday, closing below the 5,000-point mark for the first time since July 20
Speaking to the BBC at the Conservative Party conference in Manchester, Mr Cameron said: "I think there are some very serious clouds on the horizon, chief amongst them is the problems in the eurozone where the French economy, the German economy have both stalled, and that is a real problem for the British economy.
"I think what we've got to do is line up the problems. Dealing with the eurozone, that's absolutely vital, then we've got to the look at the British economy and say look we've got a deficit reduction plan, that's good, that keeps our interest rates low, but we need more on the growth front."
The premier said he is acting in "Britain's national interests" by encouraging the eurozone to integrate further to tackle the current problems.
He stressed that non-single currency members would require "safeguards" to protect their interests as the necessary reforms are implemented.
Mr Cameron admitted that European leaders had not reacted decisively enough to deal with the Greek debt problems over the summer. Asked if there had been a lack of urgency, he replied: "I acknowledge that. Part of the problem is the Greek programme that was put in place, the milestones that they have to hit, people in the eurozone expected that to happen. That has not happened."