Delegates were left stunned

It revealed that Mr Blair was planning to confront the unions over their opposition to the use of the private sector in reforming public services.

"Where the use of the private sector makes sense in the provision of better public services, we will use it. Where it doesn't, we won't."

Mr Blair was to have said that he had a sense of deja vu after his previous fight over changing the Labour Party constitution to modernise Clause IV which had committed the party to nationalisation.

"The reform programme to improve public services is every bit as crucial to the future of Britain as changing Clause IV was to the future of the Labour Party," he was to have said.

Although Mr Blair was to promise the unions more investment in public services, and more job protection for public sector workers, he was unlikely to have satisfied union critics.

Union leaders had said that the government needed to go back to square one on the issue, and a highly critical motion had been agreed by all the main TUC unions.

Pro-Europe

Mr Blair was also due to send a strong pro-euro signal.

One of the key things affecting the UK's long-term strength, he was to say, was based on continuing to play its part in Europe and being part of the single currency if the economic conditions were met.

"This government believes Britain's proper place is at the centre of Europe, as a leading partner in European development, " he was to say.

"There is nothing more damaging or destructive to the true national interest than anti-European isolationism of today's Conservative Party."

The TUC was due to debate a resolution calling for stronger government support for euro entry.

Leaders of manufacturing unions have been concerned about the loss of export jobs due to the high pound.