Carter's backing boosts London's Olympic hopes

The prospects of London bidding for the 2012 Olympics were boosted when the move was backed by Sir Patrick Carter, the new chairman of Sport England and a key Government adviser.

With war looming in Iraq, the Cabinet has put the final decision on the merits of a bid on hold. Until yesterday Carter, brought in by Ministers to sort out the Wembley stadium fiasco and assess the funding of the Manchester Commonwealth Games, had remained silent on the subject.

He said: "I think it is a good idea to bid. We are one of the major sporting countries in the world and it is right for a very sporting nation to bid for the Olympics.

"It would do a lot of good for sport and I do believe we can win. It will increase the interest in sport at every level and get people involved in sport.

His intervention is significant as he is a close personal friend of the Foreign Secretary, Jack Straw, who chaired a Cabinet committee on the Olympic bid. A majority of the Cabinet – including Tony Blair and the previously sceptical Chancellor, Gordon Brown – are understood to favour the plan. But supporters fear the series of delays to a decision could undermine any bid.

In the Commons yesterday, Richard Caborn, the Sports Minister, rejected claims that Britain risked being left behind in the race to host the Games. He said Jacques Rogge, the president of the International Olympic Committee, was "very impressed" with the Government's preparations for a possible bid.

John Whittingdale, the shadow Culture Secretary, had protested there was a "danger the Government is beginning to give an impression of dither and lack of commitment at the time when our potential competitors are warming up on the starting blocks".