BRITAIN: British Chancellor Gordon Brown, Prime Minister Tony Blair's successor-in-waiting, yesterday vowed to press ahead with free market reforms as he made an overt pitch to become Britain's next leader.
Mr Brown's speech to the Labour Party's annual conference was prime ministerial in sweep, ranging from Iraq and Afghanistan to promising Britons he would safeguard their prosperity and equip them to compete with the new tiger economies of China and India.
He offered little but rhetoric to those in the party who hoped he would mark a return to more traditional, left-wing values as leader but vowed to deepen public service reforms started by Mr Blair.
"The only future of the Labour party is as the party of reform," he told party members at the gathering in Brighton.
Mr Blair, despite being dogged by the Iraq war, won a third straight election for Labour in May. He has said he will not run for office again and has promised a smooth power transfer.
The outbreak of peace between the two men - sown by Mr Brown's pivotal role in May's election victory - should allow the ruling party to avoid the bitter leadership battles that have so hurt their main Conservative opponents.
"I believe Tony Blair deserves huge credit not just for winning three elections but leading the Labour Party for more than a decade," Mr Brown said.
"And in the same way, he deserves credit for leading us through difficult and challenging years, he also deserves credit for . . . challenging us as a party to begin to plan ahead."
Insiders do not expect Mr Blair to go before 2007 but a number of ministers have openly named Mr Brown as his unchallenged heir in a succession of carefully choreographed statements.
In a sign of his widening ambitions, Mr Brown said he would visit the Middle East next month to look at ways to rebuild Palestinian infrastructure and help the peace process.
He even addressed the Iraq war which has cost Mr Blair so much popularity. "In Afghanistan and Iraq and at home we will at all times have the strength and resolution so that there is no hiding place for terrorists, or those who finance terrorism," he said.
At home, he said he would visit every part of Britain in the next year to find out what people need to build for the future.
Bookmakers William Hill quickly made Mr Brown the favourite to inherit Mr Blair's crown but his greatest strength - a record of eight years of solid economic growth - could yet prove his Achilles Heel.
He signalled last week that growth this year would likely fall well short of his 3.0 to 3.5 per cent forecast. With government borrowing rising, economists say he will be forced eventually to put up taxes or cut public spending.
Mr Brown said anaemic European growth and a doubling of oil prices had forced him to rethink but insisted Britain would not tumble into recession as it would have in the past.
He set out his vision for a "home-owning, share-owning, asset-owning, wealth-owning democracy" - an echo of Margaret Thatcher's free market Conservative policies of the 1980s. - (Reuters)