The President of Venezuela today offered to supply the poor in Britain with cheap heating oil in the winter, in an apparent attempt to embarrass Tony Blair's Government.

Hugo Chavez spoke during a joint press conference with Ken Livingstone, the Mayor of London, during a two-day visit to London in which he has scheduled meetings with left-wing activists but no official inter-governmental talks.

"We have investments here in two refineries in the UK, maybe we could use these refineries to help in some way the most needy people here in London and Great Britain," Senor Chavez said.

"Above all in winter when the prices go up a lot... and there could be people that can’t pay when the temperatures go down. We are doing it in the United States for thousands of people."

The offer mirrors an existing scheme to help US citizens on low incomes. Venezuela, the world’s fifth largest oil exporter, delivered heating oil to the poor in seven US states last winter.

Some of the oil was sold at a discount, and some of it donated free to homeless shelters. That was seen as an attempt to embarrass the Bush Administration, which the Venezuelan leader says neglects poor Americans.

Senor Chavez, a radical left-winger, has angered Western governments by extending state control over Venezuela’s oil industry and allying his country with communist Cuba.

Flush with cash as international uncertainty has sent oil prices soaring, Senor Chavez has used his country’s oil wealth to strengthen ties with South American neighbours, while maintaining a non-stop stream of criticism of Washington and its attempts to influence South American politics.

Venezuela’s state-owned oil company PDVSA owns 25 per cent of the 27,000 barrels per day Eastham plant in northwest England, and 50 per cent of the 12,000 bpd plant in Dundee, Scotland. The refineries mostly produce bitumen for road surfacing.

Senor Chavez said that Western countries needed to have a good look at their energy consumption, as there was not enough oil to supply the world’s population if global economic development followed the US model.

"The planet can’t take a car for everybody," he said. "This model, the so-called American way of life, will end the planet if we carry on this way. It is a crazy waste of energy."

He predicted that the price of petrol would rocket to over $100 a barrel if war was declared against Iran, and warned Britain to beware of President Bush, whom he termed a genocidal "assassin" who is "the worst criminal in humanity".

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