Business is failing to lobby effectively for open markets and economic reform in Europe, Tony Blair told a summit of industry leaders from across the continent yesterday.

The prime minister said the election of Nicolas Sarkozy as French president and Angela Merkel as German chancellor meant there was now "every possibility" of achieving economic change in the European Union. He stressed he was very confident that Gordon Brown would continue the UK's pro-reform stance. But Mr Blair called for stronger support from employers, warning it was very hard to overcome "some of these sectional interests" pushing a protectionist agenda.