THE Government was last night poised to take emergency measures to free up fuel supplies as hundreds of petrol stations across the country ran dry.

Drivers brought chaos to roads around many garages as blockades of fuel depots by angry haulier and farmers prompted panic buying.

An emergency meeting of the Government's powerful Privy Council earlier in the day cleared the way for special measures to be used to keep fuel supplies flowing.

The Prime Minister also held emergency talks with police and oil companies, but insisted supplies would be kept moving. He urged drivers not to aggravate the situation by stockpiling fuel.

But Tony Blair himself fell victim to the blockades as he was forced to pull out of a planned engagement to celebrate John Prescott's 30 years as an MP. He and the Deputy Prime Minister both stayed away from a Chinese restaurant in Mr Prescott's Hull constituency after protestors blockaded the streets.

Elsewhere, as the crisis deepened, some hospital patients faced cancelled operations as ambulances were put on an emergency-only footing in a bid to conserve fuel.

Hauliers also warned that diesel shortages could hit deliveries to supermarkets and shops if protests over the high price of fuel continue.

The major petrol providers all announced massive station closures, including many across the North-East and North Yorkshire, with more threatened today.

TotalFinaElf, which has 1,400 petrol stations nationwide, said at least 50 per cent would run dry by midnight last night.

Shell's terminals at Jarrow, Tyne and Wear, and Stanlow, Ellesmere Port, Cheshire, remained shut throughout yesterday.

Mr Blair has vowed not to cave in to demonstrators who are preventing tankers leaving many of Britain's refineries. ''We cannot and we will not alter Government policy on petrol through blockades and pickets,'' he said.

He blamed the shortage on panic-buying rather than the blockades and said the high price of diesel and petrol was down to producers' cartel Opec.

But Tory leader and Richmond MP William Hague described the situation as a ''crisis made in Downing Street".

Petrol prices had risen by 26p in two years, he said, with 16p of that going straight to Chancellor Gordon Brown.

Last night, a spokesman for the Road Haulage Association in the North-East predicted: "Until something is done about fuel duty these protests are going to continue."

Yesterday, police on Teesside stepped in to prevent protesters blockading Philips Petroleum at Seal Sands.

Bus operators Go North East, Stagecoach and Arriva reported that the fuel crisis has yet to hit them and rail operators Northern Spirit said they had no immediate worries.

But organisers of various events in the region have raised fears about the crisis hitting their plans.

Last night, calls to re-arrange some of tonight's Northern League games were being resisted, but their spokesman said: "We and other leagues are going to have to think about postponing games."

At Durham, the charity Age Concern voiced fears that their vital mobile care service could be hit by the fuel crisis as carers relied on cars to get to their charges.

A convoy of 40 slow-moving coaches brought chaos to Newcastle yesterday, crawling up the A1 from Washington before circling the city and dawdling over the Tyne bridge. A similar protest is planned for York's ring road this morning.

Local authorities across the region are conserving supplies where possible as they anticipate the situation worsening and Durham County Council is holding an emergency meeting this morning amid fears that school transport and home-helps could be hit.