Short: I'll be vilified for this - but I just can't walk out now

Clare Short's version of events goes like this: she was writing her resignation statement when suddenly she decided to stay in her job.

Having nearly completed the draft valediction, she thought: "We've got to look after the people in Iraq; we've got to drive forward the peace process to get the Palestinian state; we've got to make sure there's not a humanitarian disaster."

Resignation, the Secretary of State for International Development decided, would be "cheap" and "cowardly".

This account by Ms Short of why she was so spectacularly reneging on her public promise to quit the Cabinet over the Iraq crisis left her an isolated and humiliated figure yesterday.

Ministers and backbench Labour MPs – many of them anti-war – queued up to accuse her of self-interest and inconsistency. "She has done Tony Blair a service by staying, but she looks silly," said a senior government source.

Tam Dalyell, the MP for Linlithgow and the father of the House, said he was not "in the least surprised" by her decision to stay. "It's par for the course," he said. Other Labour rebels said she had lost her credibility and had made an "unprincipled decision".

Graham Allen, Labour MP for Nottingham North, who has orchestrated the backbench rebellion, could scarcely disguise his contempt. "I have NO comment to make about Clare Short," he said. Another MP called her a "busted flush".

The Westminster lobbies were not won round by a letter Ms Short had circulated to Labour MPs outlining her reasons for staying. She said she had been reassured that munitions such as cluster bombs and those made from depleted uranium would not rain down on the Iraqis. Few were convinced by her conversion to the cause of war. As she took her place on the front bench, Patricia Hewitt, the Trade and Industry Secretary, and Tessa Jowell, the Culture Secretary, looked deeply annoyed.

They had publicly criticised her open display of disloyalty to Tony Blair last week. While she had taken to the airwaves, other cabinet ministers with profound worries over the policy on Iraq had kept silent in the Government's interest.

In a series of interviews yesterday, Ms Short revealed that she was prepared for "a really hard time" if she did not resign. "I know that I will be vilified. It is easier to go. I would be more popular if I went, but the truth is I would be copping out," she told the BBC. She explained she had been convinced to stay and vote for military action because her concerns on government policy had been addressed. She said she still believed the "approach to the crisis could have been better handled earlier".

But she now wanted to play a part in orchestrating the humanitarian effort in Iraq. "The things I have complained about, there has been movement on." Ms Short said she had been reassured by two presentations by the military, which persuaded her the armed forces would be "enormously careful" to avoid unnecessary civilian suffering. She also felt reassured by the Attorney General's judgment that a war without a second UN resolution was legal.

Ms Short was now convinced the UN would be in charge of rebuilding Iraq after the bombing. The MP for Birmingham Ladywood revealed yesterday that she had offered to step down after she had accused the Prime Minister in a radio interview last week of pursuing a "reckless" policy and threatened to resign. "I offered my resignation after the 'reckless' remarks and he said no," she told the BBC. "He said to me yesterday, 'You can be a very awkward person but I want you to stay. We need you for this'. That is his view."

There was doubt whether the Cabinet would put up with another outburst from Ms Short. Even Gordon Brown, her most powerful ally, who has worked behind the scenes to get her to stay, may not be able to stop her becoming a reshuffle casualty.Ms Short appeared pessimistic about her long-term future in the Government. She told Channel 4 News that Mr Blair wanted her to "stay for the reconstruction of Iraq". She said: "I might well get booted out afterwards, that doesn't matter. I'm not in this for [my] career ... I'm trying to do what's right."

CLARE SHORT'S STATEMENT

"I have decided to support the Government in the vote today. Given my remarks last week, I believe I should explain my reasons.

"I know I will be heavily criticised for my decision and many people will fell I have let them down. But I am doing what I think is right in the circumstances we are in ...

"There have been a number of important developments over the last week. Firstly, the Attorney General has made clear that military action would be legal. Other lawyers have expressed contrary opinions but for the UK Government, the Civil Service and the military, it is the view of the Attorney General that matters.

"Second, the Prime Minister has persuaded President Bush that there must be a UN resolution on creating a UN mandate for the reconstruction of Iraq. This is crucial. Without it, coalition forces would have been an occupying army under international law ...

"Third, a UN resolution is to be tabled which will give Kofi Annan charge of the oil-for-food programme and lead to the lifting of sanctions ...

"Fourth, the road-map to Palestinian statehood by 2005 is to be published. This has been achieved by UK pressure ...

"I have until today been clear that I should leave the Government. I have now decided that this would be cowardly, because I would be offering no alternative way forward or making any contribution to resolving the problems ahead of us."