THE British Prime Minister, Mr Major, last night delivered a withering response to Baroness Thatcher after she re entered the Tory Party row over the EU with a pledge to donate funds to Mr Bill Cash's controversial European Foundation.
Mr Major said: "Everyone must choose what to do with their own money. Lady Thatcher must answer for her own actions. Personally, I would have given the money, to the Conservative Party.
His statement came after Lady Thatcher caused renewed controversy over Europe by pledging to back the Tory MP, Mr Cash.
The arch Euro sceptic MP was forced to renounce funding from the billionaire financier, Sir James Goldsmith, who is threatening to run candidates against Conservative MPs at the next election.
Mr Major's unusual step in openly criticising his predecessor underlined his growing fury over the dispute.
Lady Thatcher re kindled the controversy in a letter to Mr Cash, praising the work of the foundation, saying it was "vital both to the Conservative Party and to the country".
Her move was being seen as a clear rebuff to Mr Major who told the House of Commons yesterday during prime minister's questions that it was "clearly unacceptable" for Mr Cash to accept funds from Sir James.
The MP was said to have been "carpeted" on Wednesday night by the Chief Whip, Mr Alastair Goodlad, who told him it was untenable for him to receive financial backing from someone who would run candidates against Tory MPs at the election.
Ministers were angry with him over his Ten Minute Rule Bill for a referendum on Britain's relations with Brussels which led to 78 Tory backbenchers defying the party whip - once again highlighting internal party divisions on the EU.
Rachel Borrill reports:
Mr Major was said to be "incandescent with rage" yesterday after two Tory backbenchers threatened to "blackmail" the government by withdrawing their support if a London hospital's casualty unit was closed down.
Although the two MPs, Mr Hugh Dykes and Sir John Gorst, were summoned to explain their actions, which would have wiped out Mr Major's Commons majority, they claimed their tactics had worked.