People say there is a risk in being so close with Russia but I think this is something well worth doing

Tony Blair

"What's important is to ensure that everything that is being done under this concept is transparent and clear," said the Russian leader.

"These processes are developing and evolving in Europe whether Russia wants it or not. It's not our intention either to interfere with these processes or to encourage them or to provide impetus."

Human rights

Earlier Mr Blair underlined his empathy with President Putin by expressing understanding for his controversial policies towards Chechnya and press freedom.

Putin's Chechen legacy casts a long shadow

Human rights campaigners had called on Mr Blair to demand unhindered access to detention centres in Chechnya and a full investigation of allegations of torture by the Russian security services.

Amnesty International accused President Putin of "spectacularly" breaching the UN Convention Against Torture.

UK Director Kate Allen said: "The horrific torture suffered by many Chechens can only be ended if other world leaders are prepared to challenge the Russian President directly on his failure to hold those responsible to account."

Earlier Mr Blair told reporters: "You have to understand the scale of the problems the president of Russia has to deal with.

"An economy that needs fundamental restructuring, a civil society that needs to be rebuilt and external relations that have a whole series of historical legacies that have to be overcome."

Mr Blair said: "The important thing for Britain is stability in Russia, Russia growing and prospering in a way that means Russia is a full member of the international community."

'Star Wars'

Continuing dialogue over nuclear defence systems

One of the most controversial issues on the agenda was the prospect of America's 'Son of Star Wars' national missile defence system, designed to knock out rogue states' nuclear weapons.

Mr Putin said Russia stood firm in its opposition to altering a key nuclear arms pact to allow the United States to build the shield but he was still ready to discuss the problem: "We believe that the destruction of the ABM treaty would lead to serious destabilisation in the world."

Mr Blair, who has said he is prepared to mediate, said he also approved of further talks: "I welcome the continuing dialogue, which is the right and sensible way of approaching this issue," he said.

Close relationship

Mr Blair said his meeting with the Russian leader had been fruitful: "I know that people say there is a risk in being so close with Russia and President Putin but I think this is something that's well worth doing."

Mr Putin also seemed impressed: "I find the Prime Minister to be a very pleasant, a very well informed person, a competent person, a person with whom it's a great pleasure to deal with," he said.