An influential Labour pressure group supported by five Cabinet ministers has called on the government to put British Energy into administration.

The Socialist Environment and Resources Association has written to industry secretary, Patricia Hewitt, urging her to rule out any further help for the troubled nuclear power company.

Sera claims over 100 Labour MP supporters.

Among their number are home secretary David Blunkett, Commons leader Robin Cook, environment secretary Margaret Beckett, Labour chairman Charles Clarke and international development secretary Clare Short.

Government ministers including David Miliband, Mike O'Brien, Barbara Roche, Michael Meacher, Nick Brown, Nigel Griffiths, and Peter Hain are also listed as members of the campaign group.

Sera calls for the government's emergency £410 million loan to the company to be repaid immediately, for BE's overseas nuclear power plants to be sold, and for the eight UK nuclear power stations to be transferred to the planned nuclear liabilities management authority for decommissioning.

Hewitt is also being urged to phase out nuclear power and focus instead on renewable energy and energy efficiency, with redundant workers being redeployed in these sectors.

"There should be no handout for a lame duck business. We believe it is in the best interests of the taxpayer to phase out nuclear power rapidly as to do otherwise would leaded to mounting economic losses that would ultimately fall to the public to pay," argued Sera chairman Bill Eyres.

"It would be a disgraceful waste of resources to prop-up a failed, dirty and dangerous industry when clean technologies and jobs need priority support."

The environment pressure group, which is affiliated to the Labour Party, said it planned to lobby ministers in the run-up to Labour Party conference and called on backbench MPs to do the same.

The letter to Hewitt comes amid reports that industry ministers and officials are giving serious consideration to placing British Energy in administration.

Shares in the company dropped 33 per cent on Tuesday as City analysts said the outcome was looking increasingly likely.