Britain could be a world leader in the new low-carbon global economy in the same way it led the Industrial Revolution, Gordon Brown will say today.

In his first major speech on the environment as Prime Minister, he will set out the dangers of inaction over global warming and will flag up the economic potential to be had in rising to the challenge of tackling climate change.

Mr Brown is expected to tell a London audience that it is possible to be both pro-environment and pro-growth.

By acting now, Britain could take advantage of a huge economic opportunity. The PM is due to point out that building a low-carbon economy will mean developing new technologies, industries and jobs. Halving global emissions by 2050 will require a technological revolution in clean energy.

London is established as the centre of the global carbon market and Britain can take a world lead in environmental technology based on the new £650m public-private Environment Technology Institute.

It has been suggested the PM will disclose that he has rejected a Whitehall attempt to abandon the UK Government's commitment to supply 20% of British energy needs from renewables by 2020.

In 2005, just 4% of the UK's electricity supply came from eligible sources of renewable energy. It is estimated that at the current rate, the UK Government will reach 5% by 2020.

Britain is widely regarded as having the best tidal, wave and wind resources in Europe. Scotland is seen as being at the forefront of increasing the nation's energy needs.

Last month, Scottish ministers gave the go-ahead for the world's largest wave energy project. The £4m scheme on Orkney will deliver enough power for 2000 homes.

Last week in its Budget, the Holyrood Government announced Scotland would offer one of the largest scientific prizes in the world, the £10m Horizon Prize, to stimulate ground-breaking research into renewable technology.

A weekend report by the United Nations-led Intergovernmental Panel on Climate Change (IPCC), showed that, if nothing were done, global warming would cause temperature increases of four degrees and sea levels rising by 60cm by the end of the century.

Mr Brown called the IPCC's stark findings a "wake-up call for the world" and said he wanted to see more low carbon homes and businesses helping the UK play its part.

The PM is expected to refer to the latest report from the International Energy Agency which showed that if nothing were done to combat global warming, then world energy demand would be 50% higher and global emissions 60% higher than today.

He will call for a concerted international lead from developed countries starting at the UN conference in Bali in two weeks' time, which will attempt to establish an international framework to cut emissions after 2012 when the Kyoto Agreement expires.

The Prime Minister is expected to point to the UK Government's Climate Change Bill as the first in the world to place a cap on national emissions. He said he will ask the country's independent climate change committee to report on whether the target in the bill of a 60% reduction in emissions by 2050 should be stronger.