BLACKBURN Labour party is backing its former MP Baroness Castle, over pensions, in a major embarrassment to Tony Blair and Jack Straw.

The town's activists are calling for immediate action to boost the basic pension.

In an amendment submitted for debate at the annual conference, which starts at the end of this month, Blackburn constituency rejects the cautious approach of the party leadership.

It echoes Baroness Castle's call to restore the link with earnings to the basic pension and to restore the State Earnings Relation Pension to its original status as a standard setter for private schemes.

As the Labour party is developing its own pensions strategy more dependent on private insurance and the leadership has not been prepared to commit itself to full restoration of the earnings link to the basic state benefit. But Baroness Castle is to tell a fringe meeting at the conference that both these measures are absolutely vital and are a policy commitment that cannot be junked.

If her intervention is already an embarrassment to Shadow Home Secretary Mr Straw, one of the Mr Blair's closest aides, the move by the Blackburn party will compound matters.

Blackburn Labour Party delegate to the conference Councillor Mohammed Khan, said: "We recognise the damage done by successive Tory governments to State pension schemes and that it will take time and resources to lift UK pensions up the European average.

"If Barbara Castle, after a lifetime in politics and high public office, can find the determination and energy to continue to campaign for a decent pension for everyone, the least we can do in Blackburn Labour party is give her support.

"For my part, I shall be attempting to ensure that the Blackburn Labour Party Amendment is included in the final agenda and that it is successful at the conference."

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