Brown stakes place as UK's next leader

In a 38-minute speech to the Labour Party's annual conference, which earned him a standing ovation, Brown called for "a great British society" in which Labour would "dominate" the centre of British politics.

"The next election must and will be 'New Labour' renewed, against a Conservative Party still incapable of renewal," he said, with an approving Blair, sitting to his left, leading a strong round of applause.

"The only future of the Labour Party is as the party of reform."

Bolstered by a third straight general election victory last May, Labour is gradually preparing for the day when Blair -- who declared last year that this would be his last term as prime minister -- stands down.

Brown, who as finance minister has presided over an unprecedented period of unbroken economic growth since Labour took power in 1997, has long been regarded as Blair's heir apparent.

This week's conference in bohemian seaside resort of Brighton, on England's south coast, is seen as preparation for the handover, even if the exact timing of Blair's exit remains a mystery.

Blair was scheduled to address the conference on Tuesday.

To the disappointment of Labour's left wing, including trade unionists who dominated the party's pre-Blair political thinking, Brown indicated that public sector reforms, notably in health and education, would go ahead.

"When they (the main opposition Conservatives) tell you that at the next election we will abandon reform in Britain, tell them the Labour Party was founded so that our Labour values could reform Britain," he said.