UPDATE 1-OECD's Gurria worried about anti-nuclear backlash

* OECD'S Gurria warns against anti-nuclear backlash

* Says Japan deficit may rise, but people the priority (Adds quotes on Japan debt)

LONDON, March 17 (Reuters) - The head of the OECD said on Thursday he was concerned that the nuclear crisis in Japan after last week's earthquake could lead to an unmerited global backlash against nuclear power.

China has suspended approvals for planned nuclear power plants while Germany has shut down its nuclear plants that began operating before 1980 in response to the emergency in Japan after last week's quake and tsunami. "I'm worried there could be a backlash against the alternative of nuclear power and that it might be stopped or perceived to be wrong, without taking into account the exceptional circumstances," OECD head Angel Gurria told BBC radio.

"We continue to believe that nuclear is part of the solution, not all of the solution, to fight climate change, but also to make sure we have enough electricity for the economy to work.

"We should not allow this accident to deviate us from this conviction."

Gurria, who has been visiting London to present a report on the British economy, said that the cost of rebuilding Japan would push up debt levels but that people were the priority.

"I don't think that when have we situations like this you should discuss too much the debt to GDP ratio, you just do what you have to do," he said.

"The priority is to have people safe, provide them with what they need, then deal with the nuclear plant. In this case, it's whatever it takes, people first. It means deficits may increase and it means it may take longer for the expected consolidation."

Gurria said that Japan would absorb most of the cost thanks to its high domestic savings.

"The insurance and reinsurance costs will be important, but most of the costs will stay in Japan itself," he said.

"Nobody will lend Japan yen except the Japanese people." (Reporting by Michael Holden and Fiona Shaikh; editing by Keith Weir)