PM to 'freshen up' team with reshuffle

Tony Blair has started work on a ministerial reshuffle to follow what are expected to be poor results in the 10 June elections.

The summer changes, coming less than a year before the next election is due, will be used to "freshen up" the Government and send a signal that Mr Blair is staying in charge for the long term.

The Prime Minister has already asked Labour whips to submit names of junior ministers and MPs ready for senior posts, sources told the Evening Standard.

Alan Johnson, the higher education minister who pushed through top-up fees against a major revolt, and health minister John Hutton are tipped for promotion.

Jim Fitzpatrick, the MP for Poplar and Canning Town and a whip, is also expected to be made a minister. It is unclear how many changes Mr Blair wants to make to his Cabinet team. Geoff Hoon is thought to be keen to move from defence after surviving calls for his resignation during the Hutton inquiry and is rumoured to be considering quitting government altogether.

Environment Secretary Margaret Beckett and Trade and Industry Secretary Patricia Hewitt could also be moved to new departments.

Downing Street aides are describing the reshuffle as an opportunity to revitalise the ministerial ranks and reward MPs who have remained loyal during mass rebellions over Iraq, university funding and foundation hospitals.

Combative ministers with the stomach for future internal battles are also being favoured.

Mr Johnson is credited with single- handedly saving Labour from defeat on top-up fees by deftly handling the Higher Education Bill in the Commons and in committees.

Insiders believe the Prime Minister is also keen to demonstrate he retains a firm grip following repeated reports he is getting ready to retire after the election.

Mr Blair's standing has been damaged by the U-turn over the European Union constitution and the worsening situation in Iraq.

An opinion poll this week showed the Conservatives pulling ahead of Labour for the first time since the fuel protests four years ago.

tax. The plan would see more than 1,000 miles of Victorian water main replaced by 2010.

Thames Water Utilities chief John Sexton said: "We know no price rises are popular, but we hope our customers will recognise the longterm benefits this investment will bring."

The proposed rise compares with an average of about 30 per cent for England and Wales.

Andrew Marsh of water consumers' group WaterVoice said: "Most customers will be very shocked by the scale of this. If you are a pensioner on a fixed income, where are you going to find the money?"