Britain's future lies in further integration with our European partners, Tony Blair said on Tuesday.

In a speech to the SPD congress in Germany, the prime minister said he wanted to create "a stronger more effective European Union".

Addressing ongoing debates about the euro, said to be a strong factor in reported rifts between Blair and Gordon Brown, the PM gave an upbeat assessment of British membership, arguing that its success was "critical for us all".

Blair is today warned by a staunch euro ally, Lord Simon, that the UK is not doing enough to prepare for the introduction of the European currency in the euro-zone on January 1.

An ICM poll for Business for Sterling finds support for the euro remains low - at 22 per cent of voters.