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Campaigners have welcomed the announcement that the government is to review its approach to biofuels.
The decision followed a high-profile meeting at Downing Street yesterday which discussed biofuel and its impact on worldwide food production.
Concerns have been raised that the demand for biofuels is harming food production and increasing food prices, affecting the world's poor.
"We need to look closely at the impact [of biofuels] on food prices and the environment of different production methods and to ensure we are more selective in our support," a Downing Street statement said.
The Downing Street summit also pledged to work towards better support for agricultural and rural development in the poorest countries and to address domestic food price rises.
Oxfam welcomed the proposed action on global food supply and said definitive action is now needed on biofuels.
Friends of the Earth's food campaigner Vicki Hird added that the prime minister is "right to be concerned about the impact of biofuels on food prices and the environment".
"Evidence is growing that they cause more harm than good. UK and European targets for increasing biofuel use by adding it to our petrol must be scrapped," she explained.
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