Chancellor refuses to talk about the Granita 'deal'

An edgy Gordon Brown has refused point-blank to say whether there was any deal between himself and Tony Blair over the Labour leadership.

The Prime Minister yesterday claimed that Mr Brown and he were at one in denying the existence of the so-called Granita deal at a London restaurant in 1994, when one agreed to step aside to give the other a clear run at the leadership with a promise to inherit one day.

Mr Blair, questioned by David Frost whether there had been any such agreement with Mr Brown, replied: "No. I have always said - and I think he has as well - you do not do these things by deals. It's for the British people to decide who their prime minister is. There was no deal. There's never been a deal."

Mr Brown, questioned on the BBC's Today programme, conspicuously failed to back that line. "I have never yet talked about this and I'm not going to start now," he said.

"I have never talked about my conversations with Mr Blair then or later. My job is to get on with the job of being Chancellor and I am not going to get into this dialogue."