Markets down amid Greece referendum

Press Association
London Stock Exchange
London Stock Exchange

World markets have suffered big losses after the Greek prime minister announced a shock referendum on a vital aid package and fuelled fresh fears for the future of the eurozone.

Wall Street's Dow Jones Industrial Average followed European markets into the red, falling nearly 2%, as George Papandreou's unexpected move cast fresh doubts on last week's much-heralded proposals to protect Europe from collapsing into recession.