UK accepts explanation of EU competition omission

..."free and undistorted" competition from a planned European Union reform treaty.

Prime Minister Tony Blair raised the issue with French President Nicolas Sarkozy at an EU summit, saying London wanted clarity that the bloc stood by its antitrust principles.

"As a result of this morning's meeting, clarification is emerging on this issue. People are now much more reassured across the board," Blair's official spokesman told reporters.

There were 13 other references to free market competition in existing EU treaties so the legal basis for the European Commission's regulatory powers would not be changed, he said.

Keywords: EU TREATY/COMPETITION BRITAIN