Britain needs more entrepreneurs to succeed in the global economy, the chancellor has said.

Gordon Brown began his enterprise summit in London on Monday with a call for the UK to seize the chance to develop a stronger economy.

He described his first-ever "get together" as a vital way of getting British business to improve its performance against global competitors.

"I wanted this get together because we all know that in the modern global economy Britain has to meet competitive challenges that are more fearsome than ever, but that the opportunities for the winners are greater than ever," he said.

"I believe that if this country is to achieve its full potential, government and business must work constructively and creatively together.

"Britain is uniquely well placed to become one of the strongest, most successful enterprise centres of the world."

There was a warning that the government would not be pumping cash into propping up parts of the economy; "resorting to loss making subsidies, artificial barriers or protectionist shelters".

Brown said his optimism was based on Britain's track record as a nation of inventors.

"We have not just a long tradition of inventiveness and creativity - a tradition that gave us the steam engine, the telephone, penicillin and the television and made Britain the world's leading industrial power - but since 1945 it is British inventors that have given us the internet, magnetic resonance imaging, the human genome project - all starting from Britain - affirming both our potential as a scientific nation for the future and the need to continue to invest in British science," he said.

The chancellor called for Britain's planning laws to be made quicker and for the transport system to be overhauled.

Brown also published a paper on increasing entrepreneurship in the UK and announced that the first-ever national Enterprise Week will be held in November.

In another initiative, he revealed that Buckingham Palace is considering a new award similar to the Queen's Awards for Enterprise given to companies.

Members of the Royal family will also visit "outstanding examples of enterprise" in July.

On the issue of economic reform, Brown returned to his familiar theme of reforming the way the EU does business.

He is set to ask every member of the European Union to produce a list of legislation that they would like to see altered or abolished under measures to counter business red tape.

"The best contribution we pro-Europeans can make to the cause of Europe is by ensuring that in Europe we face up to rather than duck the difficult decisions about economic reform," he said.

Brown summed up: "Building an enterprise culture doesn't just depend on any one initiative or individual but on changes in attitude and outlook which will, in time, transform our culture."

Other ministers taking part include education secretary Charles Clarke, deputy prime minister John Prescott and trade secretary Patricia Hewitt.

The TUC's Brendan Barber and Digby Jones of the CBI also participate, while the closing summary of the day's discussions will be delivered by Ed Balls, chief economic adviser to the Treasury.

Another speaker at the event, Microsoft co-founder Bill Gates, is to receive an honorary knighthood "in recognition of his outstanding contribution to enterprise, employment, education and the voluntary sector in the United Kingdom".