The prime minister has confirmed that talks are continuing on whether to deploy more British troops to Iraq.

Speaking in the Commons, Tony Blair also said he would not be deterred from helping Iraq become a democratic, stable state.

Liberal Democrat leader Charles Kennedy had asked Blair to confirm that the handover of power in Iraq would "involve the transfer of full sovereignty and the authority that goes with it".

The prime minister replied that this was the case, despite the failure to agree a new UN resolution detailing the plans with the June 30 deadline approaching.

Kennedy then challenged the government to commit to a full Commons vote before any more British troops were deployed to the Gulf.

He added that an expected announcement should not be "slipped out during the parliamentary recess".

Blair said any announcement would be made "in the normal way", indicating that MPs would not be asked to vote.

"No decision has yet been taken on whether to deploy further troops and if so where," he added.

"There are discussions that are continuing at the moment but the important thing is that we continue to play our full part as a country in trying to create in Iraq a democratic and stable state."

"There are obviously huge difficulties," Blair accepted.

"But the one thing I have absolutely no doubt about at all is that it is our job to stay and get the job done, to make sure that Iraq becomes that democratic, stable state and that is in the interests of Iraqis, the region and the world."