The issue of Iraq proved to be the dominant topic of debate between Tony Blair and Jacques Chirac yesterday.

Meeting for their first formal summit since the war, the prime minister's attempts to demonstrate unity was deflected by the French president's declaration that America is not handing over power to the Iraqis quickly enough.

At his joint press conference with the prime minister after their talks, Chirac welcomed the general direction of the plans for Iraq's future, but added: "It seems to me to be extending over too long a period. It does seem to me a somewhat incomplete policy."

However, progress was made over plans for a European defence force.

Tony Blair said the EU army would be "fully consistent with the NATO alliance". He and the French president had agreed a "hierarchy" that will leave an EU force very clearly in third place behind NATO and a joint force between NATO and European countries.

The prime minister insisted that Britain benefits from its alliance with both America and Europe.

"There is no choice between our transatlantic American relationship and the strength of our position in Europe. A sensible country in the early 21st century with the advantages of Britain would keep and nurture both," he said.

But Blair also stepped up the rhetoric over the EU constitution saying he did not think it was essential that a new treaty was agreed.