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Blair defends Saudi probe ruling Blair defends Saudi probe ruling
(10 minutes later)
Tony Blair has hit back at criticism of a decision to end a Saudi arms inquiry and of "cash for honours" allegations.Tony Blair has hit back at criticism of a decision to end a Saudi arms inquiry and of "cash for honours" allegations.
He said Britain's relationship with Saudi Arabia was "vitally important".He said Britain's relationship with Saudi Arabia was "vitally important".
Jobs would also be saved but pursuing the inquiry would have caused years of "ill-feeling" and "immense damage" to Britain's national interest.Jobs would also be saved but pursuing the inquiry would have caused years of "ill-feeling" and "immense damage" to Britain's national interest.
On honours, he said it was "perfectly natural" the police would want to talk to him but he was he was entitled to nominate working peers.On honours, he said it was "perfectly natural" the police would want to talk to him but he was he was entitled to nominate working peers.
The prime minister has been accused of caving in to "blackmail" by Saudi Arabia after a two year Serious Fraud Office probe was suddenly dropped.The prime minister has been accused of caving in to "blackmail" by Saudi Arabia after a two year Serious Fraud Office probe was suddenly dropped.
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Mr Blair also faces claims, denied by Downing Street, he tried to "bury" news of his police interview on Thursday - thought to be the first time a serving prime minister has been questioned in connection with a criminal investigation.Mr Blair also faces claims, denied by Downing Street, he tried to "bury" news of his police interview on Thursday - thought to be the first time a serving prime minister has been questioned in connection with a criminal investigation.
His spokesman has said he was not interviewed under caution - so is not considered a suspect.His spokesman has said he was not interviewed under caution - so is not considered a suspect.
Mr Blair's spin doctors are back to their old tricks Chris GraylingShadow transport secretaryMr Blair's spin doctors are back to their old tricks Chris GraylingShadow transport secretary
It has been anticipated for some weeks that Mr Blair would be interviewed as part of the inquiry, sparked by revelations Labour was given secret loans ahead of last year's election and some donors were nominated for honours.It has been anticipated for some weeks that Mr Blair would be interviewed as part of the inquiry, sparked by revelations Labour was given secret loans ahead of last year's election and some donors were nominated for honours.
But there has been criticism that his questioning coincided with the long-awaited publication of Lord Stevens' report into Princess Diana's death.But there has been criticism that his questioning coincided with the long-awaited publication of Lord Stevens' report into Princess Diana's death.
And there was a surprise announcement from the attorney general that the Serious Fraud Office had ended its two-year fraud inquiry into the Saudi deal.And there was a surprise announcement from the attorney general that the Serious Fraud Office had ended its two-year fraud inquiry into the Saudi deal.
Mr Blair's spokesman has strongly denied there was any deliberate timing in the announcements. Interview timing
As he attended an EU summit in Brussels on Friday, he refused to comment on suggestions he had chosen the date for his interview.
He told reporters: "I've learned over the years not to get involved in issues of process, so you guys can debate that as much as you like."
But Conservative front bench MP Chris Grayling thought otherwise.But Conservative front bench MP Chris Grayling thought otherwise.
Mr Blair was questioned by police on Thursday
Referring to the 11 September 2001 email from Labour's former spin doctor Jo Moore, that the day of the US attacks, was a "good day to bury bad news", he said: "Mr Blair's spin doctors are back to their old tricks."Referring to the 11 September 2001 email from Labour's former spin doctor Jo Moore, that the day of the US attacks, was a "good day to bury bad news", he said: "Mr Blair's spin doctors are back to their old tricks."
'Nail in the coffin' Mr Blair also stood by the decision to drop the SFO probe into claims that Britain's biggest defence firm BAE had paid bribes to secure an arms deal with Saudi Arabia in the 1980s. BAE has denied the claims.
Lib Dem chief of staff Norman Lamb added: "This is the final nail in the coffin of this government's reputation." Lord Goldsmith said the decision was made in the interests of national security amid concerns about its impact on "cooperation" with the country and said there were serious doubts over whether a successful prosecution could be mounted.
The SFO has been investigating claims Britain's biggest defence firm BAE paid bribes to secure a huge arms deal with Saudi Arabia in the 1980s. BAE has always denied any wrongdoing. Our relationship with Saudi Arabia is vitally important for our country ... That strategic interest comes first Tony Blair
Lord Goldsmith said the decision to drop the SFO probe was made because in the interests of national security amid concerns about its impact on "cooperation" with the country. Mr Blair said: "Leave aside the effect on thousands of British jobs and billions worth of pounds for British industry, leaving that to one side.
The Typhoon still faces a fight to hold onto its vital Saudi customer "Our relationship with Saudi Arabia is vitally important for our country in terms of counter-terrorism, in terms of the broader Middle East, in terms of helping in respect of Israel and Palestine. That strategic interest comes first."
But critics say the government had succumbed to Saudi threats to pull out of a deal to buy 72 Eurofighter jets from BAE, amid reports the Saudi royal family was prepared to ditch the contract and deal with France instead. He said the probe would have led to months or years of "ill feeling between us and a key partner and ally and probably to no purpose".
Full responsibility
He said he had "absolutely no doubt" that the right decision was taken and he took full responsibility for the advice he had given.
Critics argue the government had succumbed to Saudi threats to pull out of a deal to buy 72 Eurofighter jets from BAE, amid reports the Saudi royal family was prepared to ditch the contract and deal with France instead.
The Lib Dems have called for an inquiry and accused the government of putting cash before principle and said it was a "sad day" for the rule of law in Britain.The Lib Dems have called for an inquiry and accused the government of putting cash before principle and said it was a "sad day" for the rule of law in Britain.
Lib Dem peer, Lord Goodhart, told the BBC's Today programme: "I think what has happened here is that we have been bounced into this decision by what is effectively blackmail by the Saudi Arabian government.Lib Dem peer, Lord Goodhart, told the BBC's Today programme: "I think what has happened here is that we have been bounced into this decision by what is effectively blackmail by the Saudi Arabian government.
'Serious damage'
He added: "It is clear it was not the SFO's own decision, and it was not something that was instigated by the SFO. This came from the top."He added: "It is clear it was not the SFO's own decision, and it was not something that was instigated by the SFO. This came from the top."
But the government and the SFO have said "no weight" was given to economic interests. The government and the SFO have both said "no weight" was given to economic interests.
Lord Goldsmith told peers the government believed the investigation would cause "serious damage" to security, intelligence and diplomatic co-operation between the UK and the Saudis.
He also said there were serious doubts over whether a successful prosecution could be mounted.