'Leadership challenge talk is all froth'

Gordon Brown today dismissed talk of a Labour leadership challenge as "froth" as he waded in to support an embattled Tony Blair.

The Chancellor mounted a strong defence of New Labour's pro-business policies in his first public reply to the wave of attacks from rebels within the party.

Although the likelihood of a contest for the leadership remains remote, some MPs would like to see Mr Brown take over as Prime Minister sooner rather than later.

When the question was put to Mr Brown in a newspaper interview, he said: "This is the froth of politics and it's barely worth comment. Labour is more pro-business, pro-wealth creation, procompetition than ever."

Backbench anger is directed at the Government's support for privatisation, likely British backing for an American attack on Iraq, and the Prime Minister's dealings with Right-wing European leaders such as Italy's Silvio Berlusconi.

One of Labour's most troublesome backbench MPs, Commons transport committee chairman Gwyneth Dunwoody, today warned that the Government was "limping along from crisis to crisis".

She warned of Cabinet disunity, saying: "We have had powerful chancellors in the past, but none has had the grand ambitions of the present incumbent. It's worrying that Mr Blair seems to want to be president. Mr Brown's role is not so much as a counterweight to Mr Blair but more a competitor."

In an article for The Independent, she writes: "The patience of Labour MPs would be tested beyond breaking point if we automatically agreed to join US military action on Iraq."

Trouble was looming for the Government on another front as countryside campaigners planned a march in London to protest against plans to ban foxhunting.

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