Petrol pumps across Sussex were drying up today following panic buying by motorists desperate to beat the fuel blockade.

Petrol and diesel stocks were dwindling as drivers fought to fill up amid fears a blockade of fuel depots in the North West would cause shortages across Britain.

Farmers and hauliers have been joined by taxi drivers in protests aimed at forcing the Government to cut petrol taxes, which are the highest in Europe. They have blockaded terminals and fuel depots at locations including Manchester, Cheshire and Leeds.

Prime Minister Tony Blair insisted today that his Government "cannot and will not" cave in to the fuel price protesters.

He said: "We fully understand and share the concern of business and motorists about the high fuel prices, but first we cannot and we will not alter Government policy on petrol through blockades and pickets.

"That is not the way to make policy in Britain and as far as I am concerned it never will be."

Unleaded petrol supplies at Asda in Crowhurst Road, Brighton, ran out this morning and stocks of diesel were also running dry.

Manager John Tonsford said the pumps would remain closed until the blockades ended.

He added: "We sold an extra £20,000 worth of petrol over the weekend.

"We have been in touch with our distributors, who say unless the Government steps in there will be no fuel leaving the depot which supplies us."

Motorists attempting to stock up at Asda at Brighton Marina caused long tailbacks on the road leading into the site.

Manager Simon Roberts said he expected supplies of unleaded to run out by noon.

Tesco in Burgess Hill ran out of unleaded fuel for two-and-a-half hours on Saturday and one of two diesel tanks under the forecourt was empty this morning.

A spokeswoman for the store in Hammonds Place said: "We have queues, queues and more queues and we are hoping for a new delivery soon."

Panic buying was also reported at garages across Sussex, including other parts of Burgess Hill, Eastbourne, Brighton, Newhaven, Seaford and Pease Pottage.

Supplies were dwindling at Asda in Eastbourne and stocks were expected to be exhausted by this afternoon, a spokesman said.

He said the store was waiting to hear whether new supplies would arrive today.

Sussex Police said services were not being affected by the situation.

The force has its own pumps and supplies and says contingency plans were always in place to deal with fuel shortages.

Roger French, managing director of Brighton and Hove Bus and Coach Company, said the firm had taken the precaution of having its three fuel depots filled up over the weekend to ensure supplies did not run out.

He said the company's 230 buses and coaches had enough fuel to keep services running for at least a month.

Mr French added: "We have established from our suppliers that they can continue to supply us and we are not anticipating any problems but one has to keep the situation under review.

Sussex Enterprise, which supports businesses in the county, today called on the Government to reduce fuel duty to offset rising world oil prices.

A spokesman said: "We are calling for immediate Government action to address increased fuel prices on British business competitiveness."

Roger Pritchard, managing director of P and H (Worthing Removals and Storage) Ltd, said: "The amount of duty that companies like ours have to pay on fuel is horrendous.

"It has become a real bone of contention and has pushed the cost of other goods up as a large percentage of deliveries are made by road transport and this additional cost is obviously passed on to the customer."

Trade Secretary Stephen Byers has rejected the demands for fuel cuts and insisted the shortages were caused by panic buying alone.

He added: "Two pence off a litre is £1 billion off public spending - where are these cuts going to occur?"