Blair: Dissident republicans are planning new outrages

Dissident terror groups are plotting fresh outrages to jeopardise the peace process following the IRA's apology to its "non-combatant" victims, Tony Blair warned yesterday.

Two police officers escaped injury in Portadown, Co Down, when a rocket blew up their car. The attack, which was the first of its kind for several years, was blamed on breakaway Republicans. Mr Blair told MPs: "The purpose of the attack is to undermine the peace process."

Eddie McGrady, SDLP MP for Down South, said: "This is the first real serious attempt to murder [police] personnel in many, many years.

"It is obviously intended at this very delicate political time to create the maximum political dissension and maybe break the peace process."

Downing Street yesterday welcomed the IRA's unprecedented statement of regret for civilian deaths during its 30-year campaign.

Mr Blair's spokesman said: "For some, no apology is enough because it won't bring back their loved ones.

"For others, it will help. If it does that, it is useful."

He said the Prime Minister believed that, "IRA violence is further away than ever". Within the next week Mr Blair will make a statement to MPs setting out, "how we believe paramilitary activity can be seen to be coming to an end".

But Ulster Unionists yesterday stepped up calls for Sinn Fein to be ejected from the province's power-sharing government because of allegations of continuing IRA activity. The party has given Mr Blair until 24 July to respond to its demand.

*More than half of Northern Ireland's filling stations sell illicit fuel smuggled from the Republic, says the Commons Public Accounts Committee. It accuses paramilitary organisations of taking part in a "scandalous" racket.