Tony Blair believes Gordon Brown should consider standing down as Prime Minister rather than face the humiliation of defeat at the General Election, it was claimed last night.

Well-placed sources close to the former leader said he was shocked and dismayed at how badly Mr Brown has done since succeeding him last year.

Mr Blair is understood to believe it would be in Mr Brown’s best interests to ‘go with dignity’ if the alternative is being swept away in a Tory landslide.

The latest blow to Mr Brown’s hopes of surviving came amid three other damaging developments.

First, Labour sources said Transport Secretary Ruth Kelly has indicated she is ready to quit in a Cabinet reshuffle expected in the next few weeks.

Secondly, allies of ex-Cabinet Minister Charles Clarke said he launched his devastating attack on Mr Brown last week because he was fed up waiting for someone else to challenge the PM.

And thirdly, new evidence emerged of the continuing war between Mr Brown and Chancellor Alistair Darling over plans for a £40billion State-backed mortgage rescue scheme.

The disclosure that Mr Blair believes his successor should resign rather than be thrashed at the polls comes a month after The Mail on Sunday revealed how Mr Blair accused the Prime Minister in a secret memo of ‘dissing’ his record.

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