TONY Blair today defended his record during his time as Prime Minister, declaring: "Hand on heart, I did what I thought was right."

Mr Blair told an emotionally-charged meeting in Trimdon, County Durham, which was packed with banner-waving supporters he would be standing down on June 27, saying: "Today, I announce my decision to stand down from the leadership of the Labour Party.

"The party will now select a new leader.

"On the 27th of June I will tender my resignation from the office of Prime Minister to the Queen."

He told those gathered in his Sedgefield constituency: "I have been Prime Minister of this country for just over ten years.

"In this job, in the world today, I think that is long enough for me, but more especially for the country."

Mr Blair also apologised to the British people for the times he had fallen short during his decade of power in Downing Street.

The Prime Minister, said: "There are obviously judgments to be made on my premiership and in the end that is for you, the people, to make."

One of the first to pay tribute to Mr Blair was his likely successor, chancellor Gordon Brown.

In a statement, Mr Brown said: "I think I spoke for millions of people when I said to the Cabinet today that Tony Blair's achievements are unique, unprecedented and enduring.

"Many people will remember how he led the country after July 7, how he responded for the whole world after September 11 in America, how he responded to the tragic death of Princess Diana.

"But over ten years his enduring legacy will also be that he built better public services, a strong economy, that Britain's reputation in the world is stronger than ever before and that at all times he tried to do the right thing."

The Archbishop of York, Dr John Sentamu, meanwhile, said: "Tony Blair always welcomed what he termed prophetic wisdom from the Church on matters of state, even where such wisdom took the form of criticism or disagreement."

Durham North West MP and former chief whip, Hilary Armstrong took time to remember the human side of the Prime Minister.

"I have never seen him lose his temper, never be discourteous to colleagues and he is a real human being," she said.