The chancellor has used an interview in today's Times to warn public sector workers not to expect large pay increases.

Gordon Brown says that the government will not allow the extra money flooding into public services to be swallowed up by pay demands from unions.

He insisted there will be a "relentless emphasis on delivery" within the government.

The chancellor also said he strongly backed the prime minister's stance on Iraq.

"I would repeat what Tony Blair has been saying. The best course is to go through the UN. But obviously there are circumstances, some of which you cannot foresee, in which you might have to go without a second resolution," he said.