Blair confirms reshuffle amid feud speculation

BRITAIN: Continuing speculation about internal Labour feuds marked the first day of the new political season at Westminster …

BRITAIN: Continuing speculation about internal Labour feuds marked the first day of the new political season at Westminster yesterday as the Prime Minister, Mr Tony Blair, confirmed he would complete a cabinet reshuffle by the end of the week writes Frank Millar.

This unsurprising confirmation of Mr Blair's intentions followed the resignation of the Works and Pensions Secretary, Mr Andrew Smith, on Monday.

And while Mr Blair insisted his cabinet was one of the "most ideologically united" for years, Mr Smith's departure - and Mr Alan Milburn's predicted return as a possible figurehead for Labour's general election campaign - fuelled reports that the imminent changes are designed to reduce the power and influence of the Chancellor, Mr Gordon Brown.

"Chancellor Under Siege" was the headline in yesterday's Sun, reporting the departure of Mr Smith, who was seen as a key ally of Mr Brown.

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And with reports elsewhere of a fresh power struggle between the Prime Minister and his Chancellor, another of Mr Brown's allies - former chief whip Mr Nick Brown - claimed the departing Works and Pensions Secretary had been "briefed against" throughout the summer from within the government.

Mr Smith insisted he was resigning to spend more time with his family, while Mr Blair maintained he had tried to persuade him to stay. Mr Blair was also said to be still undecided about recalling Mr Milburn to the front line barely a year after he resigned as health secretary, also claiming family pressures.

Asked about the perceived factionalism in cabinet, and if he selected ministers on the basis of they being "one of mine", Mr Blair said: "No I don't. In the end you do this on the basis of ability."

When asked why Mr Brown appeared to have a veto over who should serve in the government, Mr Blair asserted: "He doesn't, and neither does anyone else, and it's as simple as that."

Reportedly opposed by the Chancellor, Labour MP Ms Kate Hoey said if Mr Milburn did return to cabinet Mr Milburn would almost certainly be "running up his flag" for a possible leadership bid.

Even Mr Blair's enthusiastic support for London's bid to host the 2012 Olympics was yesterday turned into a question about his intentions. Asked if he hoped to see the Olympics in London while still Prime Minister, Mr Blair jokingly replied: "Yes, and I also want to compete in them."