Business leaders have backed a new Foreign Office scheme to help UK firms working abroad.

The CBI said the new risk advice service announced on Monday would be a vital tool in helping British firms assess the security and political risks of setting up operations in foreign countries.

Under the scheme FCO staff in London and overseas will be able to advise on a range of issues such as employee safety, human rights and the threat of terrorism.

The global nature of world trade and increasing levels of terrorist violence has given cause to concern.

Recent incidents have included the car bombing of a residential compound in Saudi Arabia which killed 29 people.

The service is aimed to complement advice available through the Foreign Office website.

"Our staff based around the world are on the end of a phone or contactable by email to help British businesses who need information about overseas security and political risk," said Foreign Office minister Mike O'Brien.

The CBI's leader, Digby Jones, said the new service was vital to businesses, irrespective of their size.

"For the largest companies, security is now an integral part of everyday business life. It is no longer a bolt-on but has become a core activity," he said.

"This trend is spreading to smaller companies as well and must continue quickly. Accessing up to the minute quality information will give businesses seeking to establish new global markets, an increased understanding of less stable commercial environments."