Labour '2-0 down to Conservatives'

But Schools Secretary Ed Balls insisted there was "still a lot to play for" and - in a message directed squarely at former Cabinet minister Charles Clarke - urged fellow Labour MPs to stick together and "stop jeering at the manager".

In an interview with the Sunday Mirror, Mr Balls signalled that he will this week unveil a £75 million scheme to help up to 50,000 couples where one parent works to pay for childcare to allow the other to get skills training.

Mr Balls used a footballing comparison to give the paper a frank assessment of Labour's position: "Everybody knows that if you are two-nil down five minutes into the second half, you don't give up, you keep playing. The winner is the team that sticks together, stays determined and has the fitness, resilience and determination to win.

"We're a long way from a General Election and there's still a lot to play for. But we've got to show people over the next months that we are good at running the economy."

He made little effort to hide his displeasure at Mr Clarke's recent call for Mr Brown to stand down if he cannot improve Labour's fortunes.

"We've both got season tickets at Norwich City," said Mr Balls. "If you go to Norwich, you often get worried whether we're playing as well as we should. But you jeer the opposition. You don't jeer your own manager. I think Charles should agree with that."

Mr Balls suggested that the economy could strengthen over the 18 months before the last date for a General Election.

Despite reports that he is angling for Chancellor Alistair Darling's job, he insisted he wants to remain at the Department for Schools, Children and Families.

On his new childcare scheme, Mr Balls said: "We will pay up to £175 a week for childcare so people can go out on a training course - whether it's computing or word-processing - skills which mean you can then get a job which will really make work pay. People want to work and we want to help them."