Cameron: PM leading 'living dead'

In rowdy Commons question time exchanges, Mr Cameron asked why the country had to put up with "another seven weeks of paralysis" ahead of the handover of power.

And he rounded on Mr Blair over the splitting-up of the Home Office, warning the last thing a department "in crisis" needed was the distraction of such a change.

Mr Blair repeatedly defended the creation of a new Ministry of Justice, insisting the break-up of the Home Office was the best way to focus the fight against terrorism.

He said he would be concentrating on policy during his remaining weeks in office and suggested the Opposition leader should do the same.

"Living standards for every section of the population are up," Mr Blair said. "You can be as cocky as you like about the local elections. Come a general election it's policy that counts - and on policy we win and you lose."

Mr Cameron launched his attack by telling the Prime Minister: "Tomorrow you will announce your departure.

"Today you are announcing the splitting-up of the Home Office. The former Home Secretary (Charles Clarke) says the splitting of the Home Office is 'a completely batty idea that will damage our national security'. Why is he wrong?"

Flanked by Home Secretary John Reid, Mr Blair replied: "He's wrong for this reason. If we want the Home Secretary to focus on terrorism, it's important we make sure that the Home Office is better able to do that by moving the prisons and probation over to where the courts are.

"That makes sense. It is what is done in many other countries. It is a far better idea than retaining all those functions in the Home Office and then doing what you want, which is to appoint a special Cabinet minister under the Home Secretary to take responsibility for terrorism."