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The Prime Minister has long been expected to launch a London-based foundation to spread his ideas, such as promoting African development, action on climate change and tolerance in the Middle East.

The Times said Mr Blair would make it "the main focus" of his time after Downing Street.

His new direction will come after Mr Blair's expected formal announcement at "high noon" tomorrow when he will tell the Queen he will end a decade at the top once a new leader is chosen at the end of June. In the latest move to seal his legacy after the Northern Ireland peace triumph, Mr Blair was overseeing the split of the Home Office and the creation of the new Ministry of Justice today. He is also planning a series of foreign trips in his final seven weeks in power.

After Cabinet tomorrow, he travels up to Trimdon, the mining town he has represented as MP since 1983, to make a retirement speech to party workers. An eager Gordon

Brown is expected launch his bid for Number 10 by declaring himself a candidate for Labour leader on Fr iday be fore embarking on a nationwide campaign to meet Labour members and the public.