THE business secretary, Lord Mandelson, issued a stark warning against moves to protect British jobs from foreign workers yesterday as unions planned a national protest march.

With the spectre of disruption to fuel and power supplies, Mandelson insisted that companies must continue to be allowed to employ staff from overseas. In a blunt message to workers demanding “British jobs for British workers”, he said: “Protectionism would be a sure-fire way of turning recession into depression.”

His tough stance was echoed by Gordon Brown, who condemned plans for further wild-cat strikes tomorrow. “That’s not the right thing to do and it’s not defensible,” he said.

While ministers held emergency meetings with union leaders to try to stem the flow of unofficial protests, militant shop stewards were planning their next moves.

Among the plans which will alarm Downing Street are a national march against foreign workers in London, a national boycott of filling stations owned by Total, the French oil company, and a blockade at a Kent power station.

There was mounting confusion at No 10 about how to deal with the crisis amid fears that a failure to strike the right tone could backfire and fuel public anger over the recession.

While Mandelson made it clear that there could be no change in the law, No 10 aides were at pains to point out that Brown sympathised with those whose livelihoods were at risk and was doing “everything possible” to save jobs.

Explore Economics

• Pre-Budget Report 2009

• Budget 2009

• World Economic Forum

• The Times MPC

Times Recommends

• Lies and cover-up at MG Rover exposed by report
• High oil prices push manufacturing costs up
• Primark founder steps down as chief executive