The prime minister has praised the chancellor's record but refused to confirm he will be kept on at the Treasury after the election.

Speaking at his monthly press conference in Downing Street on Thursday, an event that coincided exactly with a Gordon Brown speech on poverty, Tony Blair said the chancellor had done a "superb job".

"The economy is the bedrock of everything we do," he said in his opening remarks.

"This has not come about by chance."

"He has done a superb job for many, many years and I have no doubt he will continue to do a superb job," added Blair.

But he asked if the chancellor will keep his job if Labour wins a third term in power in May, Blair declined the opportunity to end what is set to become months of speculation, claiming that he would not presuppose the election result.

"I am not getting into what happens after the election, reshuffles and all the rest of it," Blair said.

Amid claims that the prime minister had scheduled the media briefing at the same time as the chancellor's speech in a deliberate snub to Brown, both men denied the rift.

The prime minister insisted that it is "perfectly sensible for the government to carry on with its entire agenda".

"The reasons I am holding the press conference today is because I am making a statement on Monday," he added.

The chancellor had earlier told BBC Radio Scotland that both he and Blair have "a shared agenda".

"As you will see this morning, both the announcements that I make and the question-and-answer that Tony Blair does, shows we have been working on this agenda for Africa and the developing countries for a year," he said.

But he added that: "As you know, my speech in Edinburgh was planned a month ago."

Clash

A fresh wave of speculation in Thursday's newspapers was prompted by the timing of the press conference.

It took place at exactly the same time as a long planned keynote speech on global poverty by Brown.

"Downing Street has long known Gordon was going to make an important speech at that moment," an ally of the chancellor told the FT. "But they still went ahead and staged the press conference at the same time."

Downing Street rejected these suggestions. "The timing of the press conference has more to do with logistics than politics," said a Number 10 aide.

"The first week back after Christmas is always a congested time. Tony's instinct is still very firmly to work with Gordon and engage with him rather than isolate him."

The dispute resurfaced after claims the chancellor was being excluded from general election planning.

The government has also been forced on the defensive by criticism that its response to the tsunami disaster has been mishandled.

Conservative co-chairman Liam Fox said: "When the people of the country are pulling together in the face of a tragedy, Blair and Brown continue their obsession with each other."

Simon Hughes, the Liberal Democrat president, added: "The prime minister and his senior ministers, including the chancellor, may have been embarrassed by their slow and limited early response.

"But internal rows and personal rivalries have no place in the days and weeks ahead."