The crisis in the eurozone is having a "chilling effect" on the UK's economy, the Prime Minister, David Cameron, is set to tell the CBI conference. He will say the stream of negative news about Europe is affecting confidence. "Paralysis in the eurozone is causing alarm in the markets and having a chilling effect on economies in many countries - including our own." The government's strategy is to pay down debt and focus on growth, he is expected to tell the CBI. "I am absolutely clear about the right answer for the UK economy. It can be summed up in one sentence. We need to deal with our debts and go for growth," he is set to say. He will also put the case for radical business deregulation and employment low reforms. The CBI's annual conference - this year being held at a hotel in London's West End - will make boosting UK exports its centrepiece topic, something Mr Cameron is expected to endorse in his address. The CBI wants Britain to match the EU average of one in four small-to-medium-sized enterprises exporting by 2020. Housing initiative Mr Cameron will also tell the conference: "Everyone agrees now that in the past Britain's economy had become lopsided - too dependent on debt, consumption and financial services. "If we are to build a new model of growth, we need to give a massive boost to enterprise, entrepreneurship and business creation. "Put simply Britain must become one of the best places to do business on the planet." David Cameron and the Deputy Prime Minister Nick Clegg, who will also be at the conference, will also unveil another government initiative on housing - a £400m million fund to boost housebuilding. They will promise to break the "current cycle in which lenders won't lend, builders can't build and buyers can't buy".