On the offensive after a difficult political and personal period, the British Prime Minister, Mr Tony Blair, yesterday insisted his government was delivering on the "fundamentals" and denied it was experiencing its annus horribilis.
The robust message was delivered at a specially convened Downing Street press conference billed as the "narrative" of the government's economic record and to mark the lowest unemployment figures in 20 years, showing that over one million more people are in work since Labour came to power.
The Conservative leader, Mr William Hague, dismissed the offensive as "the third relaunch in a month" from a "complacent" government. But during Prime Minister's Question Time, Mr Blair said Tory tax and spend policies would result in massive cuts in spending on public services.
Speaking ahead of the publication of the government's annual report today, Mr Blair told the press conference Britain was stronger because Labour policies had delivered on the fundamentals, providing sound economic management, reversing the "boom and bust" of the past and reducing unemployment. The New Deal programme to help the unemployed back into work had cost £650 million, yet it had already paid for itself because almost the same amount had been saved in unemployment benefits. The government had also begun to make inroads into the "dependency culture" - achieving a saving of about £3 billion each year. It had also ensured the Bank of England's independence, enabling the bank to fix interest rates, and cleared the public finance deficit.
But Mr Blair added: "We are not in the least complacent. Over one million people are still unemployed, but at least we are getting there."
And with an eye on next week's announcement of the government's Comprehensive Spending Review, Mr Blair said the "vital next steps" in Labour's vision would see the government investing more money in education, science and technology, transport, policing and healthcare "to provide a prosperous and secure future for all".
MPs paid tribute yesterday to the Speaker of the House of Commons, Ms Betty Boothroyd, who announced her retirement ahead of the next general election, describing her as a "familiar figurehead" throughout the world who never forgot her constituents.
Ms Boothroyd, who has been Speaker for more than eight years, will step down after the summer recess. She will also be retiring as an MP, which means there will be a by-election in the West Bromwich constituency, where she had a 15,423 majority at the last general election.