The government has survived a "testing time" and is looking forward to future challenges, Tony Blair has said.

The prime minister told journalists at his monthly press conference that he remains "firmly focussed" on improving public services.

Listing achievements during Labour's term in power, Blair said there were "firm foundations" on which to continue building.

And after months of renewed leadership speculation he was upbeat about future prospects.

"This has been a testing time over the past few months but the government has come through it strengthened and renewed," he said.

"There are big challenges ahead undoubtedly but I think we can look forward with renewed confidence and indeed some optimism that we are going to meet those challenges successfully.

"And it is our job to set out how in the months to come."

Asked if he had considered stepping down as leader after 10 years as Labour leader, Blair said: "No."

"There are still big challenges that remain and we want, I want, to see them through."

Public services

Reporters were also told that continuing economic growth was allowing the government to fund increased investment in public services.

"This is encouraging, of course, but it is nowhere near enough," he said.

"There are still big issues we have to address if we want to make the lives of hardworking families in this country better in the future.

"But it does give us, I think, a very strong foundation on which to build for the future.

"As I said to you last month before the five-year strategies were published, this next stage of reform is not a change of direction but it is a change of gear.

"And all of those strategies have at their core a culture change that puts people - users of those services - at the heart of the service.

"They are ambitious and challenging. They show the government renewing itself in office and we will be developing those strategies and adding to them with others in the months to come."