Games chiefs hit back

London came out fighting today in its bid to host the 2012 Olympics after a warning that Prince Harry's Nazi gaffe may have cost it support.

Culture Secretary Tessa Jowell was hoping to draw a line under Prince Harry's blunder, which she described as "extremely foolish" and which another senior minister warned would "damage London's chances".

Bid organisers have long stressed the importance of London's multi-cultural population as a key attraction. Inspectors from the International Olympic Committee are due in the capital next month.

Ms Jowell was using the Westminster conference to show how cities across the country will gain by staging worldclass events and hosting visiting teams, and from investment in grass-roots sport. She vowed London would host the best Games ever.

There is a growing belief that the plans for an Olympic complex in Stratford are the most dynamic and imaginative of all the five bids.

On paper London can beat Paris, Madrid, Moscow and New York. But Britain still has work to do to get the message across that the whole country is behind the bid.

Ms Jowell said: "There are times when you have to put your shoulders back, push your chest out and say 'We are the best. Just give us a chance to prove it'.

"The biggest job we have is to persuade every voting member of the IOC that we really, really want the opportunity to try to put on the best Games that the Olympic movement has ever known. I started as a great sceptic. Could we win? Could we afford it? Would it be worth it?

"Now I'm an absolutely passionate and unqualified advocate for the good that the Games can bring, not just to London and its infrastructure and economy but also what the Olympics can do for our national standing and our whole national attitude to sport and ambition in sport."

London has been winning friends in the IOC as bid leader Sebastian Coe, London 2012 chief executive Keith Mills and IOC member Craig Reedie travel the world to lobby Olympic leaders. But there was a further setback last week when the Queen was said to have undermined the campaign by saying Paris would win.

The bid team estimates ?100 million will be ploughed back into grass-roots sport. It is also confident London households will not need to pay any more council tax in addition to the extra 38p a week for the next 12 years which has already been announced.