£25m raised in one Wonderful night for charity

Credit crunch - what credit crunch? An astonishing charity dinner last night, at which Tony Blair was the guest speaker and Stevie Wonder gave his first major performance in London for nearly a decade, raised more than £25 million for the world's poorest children.

With dinner costing between £1,000 and £10,000 a head and a charity auction which saw a Damien Hirst painting alone go for close to £1 million, Mr Blair was moved to declare: "I thought I was the only person who got a lot richer this year."

More than 1,100 guests attended the annual Ark charity dinner at the Royal Naval College in Greenwich, which ended early today.

Arpad Busson, the multi-millionaire hedge fund manager and philanthropist who is founder and chairman of the charity, had scaled down the target for this year's annual dinner to just £15 million and was delighted it far exceeded expectations. In seven charity dinners since 2002, Ark has raised nearly £100 million.

Mr Busson, 45, who was accompanied last night by his partner the actress Uma Thurman, 38, said: "I am thrilled by the overwhelming generosity of our guests, particularly given the more difficult financial and economic environment.

"These donations will transform the lives of tens of thousands of children in India, South Africa, eastern Europe and the UK."

Ms Thurman will have been relieved to have made it on time, having been held up at Heathrow.

Mr Blair, who was there with his wife Cherie, said: "This evening demonstrates both the power and the value of philanthropy."

Mr Blair was flanked at his table by Jemima Khan, who wore a grey satin dress, and Trudie Styler, wife of rock star Sting. Other celebrities included Liz Hurley, Bob Geldof, the Duchess of York, David Furnish and entrepreneurs David Tang and Richard Caring as well as the former Chelsea boss Avram Grant - one of the few men not wearing black tie.

They were joined by representatives from big City banks and firms along with Mr Busson's hedge fund peers. Guests arrived in Greenwich by riverboat to be met by a jazz swing band and gospel choir.

Star lot of the auction was the Damien Hirst painting All Things Must Pass, one of his heart-shaped butterfly pieces, which fetched £900,000 in a heated bidding war between rival financiers conducted by Lord Dalmeny of Sotheby's. A Fiat 500 decorated by Tracey Emin went for £200,000. Emin appeared on stage to offer a portrait of the successful bidder.

A chance for a children's speaking role alongside Uma Thurman in her next movie Eloise in Paris sold for £480,000. Lots typically went for £250,000 and above.

Stevie Wonder ended the night with a "roof raising" run-through of his greatest hits, his first major performance in London for nearly a decade. He announced he would return on tour in September.

A large part of this year's funds will go towards a new education initiative in India. Ark - which stands for Absolute Return for Kids - assists good causes from orphanages in Romania to fighting Aids in South Africa and city academy schools in Britain.