War of words: British generals tell Brown to pull out of Iraq, US says stay

The dispute threatens to renew concern about a major break in the UK-US special relationship after General David Petraeus, the US commander in Iraq, presents his crucial report next month on the progress of the security "surge".

Both Mr Brown and President Bush have already said they would make their deployment decisions following the Petraeus report.

If Mr Brown opts for a quick withdrawal, which seems likely, the Americans are expected to pour scorn on the strategy.

Scroll down for more

There are 5,500 British troops in south-east Iraq, 500 of them at Basra Palace and the rest around Basra airport. British military sources have said there are plans to bring the Basra Palace contingent home soon and that the remainder will withdraw through Kuwait over the next six months.

Stephen Biddle, a White House military adviser, has warned that the British troops will have to fight their way out as Iranian-backed Shi'ite militias try to create the impression they are forcing a retreat. "They want to make it clear they have forced the British out. That means they'll use car bombs, ambushes, rocket-propelled grenades and there will be a number of British casualties."

He added: "It will be a hard withdrawal. They want the image of a British defeat. It will be ugly and embarrassing."

Some US generals see the forthcoming-British pull-out as a close ally preparing to cut and run.

A senior US officer close to General Petraeus has been quoted as saying: "The short version is that the Brits have lost Basra. They're just sitting there. The situation gets worse by the day."

And Michael O'Hanlon, a military expert at the Washington-based Brookings Institute, added: "Basra is a mess. It is, for the purposes of future Iraq policymaking, an example of what not to do."

Despite the strong American feelings senior British military commanders have told Mr Brown they can achieve "nothing more" in Basra and that the priority should be an orderly withdrawal with the reputation and capability of the Army "reasonably intact". The Americans believe that the British withdrawal will lead to civil war in Basra and that they will be forced to send their own troops into the region to secure the oil industry.

Yesterday Britain's top soldier said the Army was so "stretched" by conflicts in Iraq and Afghanistan and could not deploy more troops to battle zones.

General Sir Richard Dannatt said: "When I say that we can't deploy any more battle groups at the present moment that's because were trying to get a reasonable balance of life for our people between time deployed, time on training and time in barracks."

Sir Richard said the death toll in Afghanistan should not overshadow the success troops had enjoyed on the ground.