Brown's woes mount as minister quits

LONDON (Reuters) - Prime Minister Gordon Brown faced the strongest challenge yet to his authority when a junior minister resigned on Tuesday, urging an open debate over his leadership.
Earlier on Tuesday, Brown's Labour Party rejected calls for a leadership contest that would have threatened his 15-month-old premiership when the party holds its decision-making annual conference from Saturday.
Brown, 57, took over from Tony Blair as prime minister in June 2007, but his popular support has slumped, not least as a result of mounting economic and financial problems. Some Labour members say he is incapable of leading the party to victory in the next general election, due by mid-2010.
Former minister David Cairns said he quit because the government seemed resolute in denying there was widespread debate within Labour over Brown's leadership. But he said he was not part of a wider plot to oust Brown who, as finance minister, had managed the economy since Labour's 1997 election victory.
"The issue of leadership and direction are being discussed and argued over, and to go on denying it is hardly credible," he told Brown in his resignation letter.
"I believe that the time has come to take the bull by the horns and allow a leadership debate to run its course."
Cairns, a former Catholic priest who worked in the Scotland Office, was the first minister to quit over Brown. In the past week, two members of parliament have been fired from government jobs for expressing dissatisfaction with the prime minister and a third resigned after saying he should be challenged.

TRAILING IN THE POLLS
Rising food and energy prices, a slump in house prices and job losses since the global credit crunch began have increased voters' discontent with Labour, which trails the opposition Conservatives by about 20 points in opinion polls.
A rise in annual inflation in August to a 16-year high and a slump in share prices on Tuesday amid financial market turmoil underlined the pressure on Brown as he tries to head off recession and regain his party's confidence.
Some Labour leaders rallied around Brown on Tuesday. Chancellor Alistair Darling said he had "every confidence" in Brown, and former Foreign Secretary Margaret Beckett said there was "nobody better" to run the country.
The party's National Executive Committee (NEC) also backed him by rejecting requests from a dozen Labour politicians to send out nomination papers for a leadership contest ahead of the conference in the northern city of Manchester.
The backing of at least 71 Labour members of parliament would be required for a contest to go ahead. However, rebels are hoping the pressure will encourage members of the cabinet to persuade Brown to step aside.
Blair faced a similar campaign of public criticism from Brown allies in 2006 before finally throwing in the towel after a decade in power and leaving Brown in charge.
This rebellion has undermined Brown's attempts to relaunch his premiership after a series of local election defeats.
Cairns said he had fundamental doubts about the government's direction and its leadership, but insisted he was not part of a wider scheme to unseat the prime minister.
"It may look like that but it's not that. Absolutely, hand on heart, I have no idea if anyone else is planning to resign," he told BBC television.
"I'm not part of a plot. I'm not part of a strategy."


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