PRIME Minister Tony Blair spoke about Lancashire County Council's plans to shut 35 of its 48 old people's homes today and said new money could provide a solution.

Speaking to the Lancashire Evening Telegraph, Mr Blair said budget increases for social services announced last week could help Lancashire County Council, which needs £14.5 million to bring care homes up to scratch.

He said that a six per cent increase for social services nationally gave county bosses leeway to reconsider.

Local MPs Greg Pope and Peter Pike immediately seized on his comments as evidence of Downing Street pressure for a climbdown when County Leader Hazel Harding meets Social Care Minister Jacqui Smith in London on Monday.

In the Budget, Gordon Brown announced an increase in social service spending for councils and health authorities from £11.4 billion this year to £12.5 billion in 2003/4 and from £13.4 billion in 2004/05 to £14.6 billion in 2005/06 - six per cent a year after inflation for three years.

Under the county council plans 19 homes in East Lancashire would be shut. An Evening Telegraph campaign has seen 600 people take to the streets in a protest march and 2,000 readers have signed protest coupons.

Mr Blair said: "It's for each county council to work out how they use the money they are given.

"And there is a programme already from the government to look after people more in their own homes. There's also now a substantial rise, the largest increase given in social service budgets for many years.

"There's no easy way to handle any issue like this. It's for the council to decide how to best use the resources they are given.

"All I would point out is that we are putting very, very substantial extra resources in.''

Asked if the county should look again at the decision in light of the extra money for social services, he said: "It's for them to take the decisions. We have given them quite substantial additional resources.

"The council will have to take the decisions. I would point out to you that in most areas of the country there are changes going on in the way that care for the elderly is being implemented.

"I'm sure that the council will, of course, look at how they use the extra resources but I really don't want to get drawn into taking their decisions from them."

Mr Blair also spoke of the fears and concerns of old people facing an uncertain future after the county council announced it was looking at closures.

He said: "Of course it's the case with any big process of change there will be concern. What I think is important is that we recognise that there are now these very substantial extra resources going in but how these resources are used should be really left up to the councils themselves.''

Hyndburn MP Mr Pope said: "I welcome the Prime Minister's comments which are a useful contribution to the debate. I think reading between the lines that he would be very pleased if the county council would have another think about this.

"I do hope that the council will listen to his words and think again about this."

Burnley MP Mr Pike said: "I think the Prime Minister is saying that the county council should look again at the issue in the light of the new resources available and I agree with him. I hope the county listens to the Prime Minister.''

Mr Blair's suggestion to Lancashire County Council today met with a cool response from the authority's leader, Hazel Harding.

Coun Harding said: "We have been told by the Government they are unhappy with the number of people we have in homes and the numbers we are admitting and we are trying to address that.

"I am trying to get beyond the politicians and speak to the people who are most affected. I have been able to do that at times and when we explain what we are doing they are happier. I can't help but feel this issue is being used by some politicians, at all levels, to their own ends."

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