Brighton Kemp Town MP Des Turner was called to Downing Street for crisis talks over a revolt against Tony Blair's health reforms.

The Prime Minister held a meeting with Dr Turner and other rebels last night amid growing fears over the future of foundation hospitals.

But the Labour MP today remained defiant in his opposition to the proposal, which would give top-rated hospitals greater freedom from Whitehall.

He warned Mr Blair the Government faced an even bigger crisis than the revolt over war against Iraq unless the policy was altered.

He said: "I regard the foundation trust idea as a betrayal of the NHS ethos we have all fought for. This could get very serious indeed."

Labour backbenchers and unions are unhappy foundation hospital trusts will be given the freedom to raise private money on the open market and set their own clinical priorities.

They are also expected to be allowed to set separate pay and conditions for staff.

This has prompted fears they will poach the best staff from neighbouring hospitals, creating a "two-tier" system.

About 130 Labour MPs have already stated their opposition to the proposals - enough to inflict a damaging defeat on the PM when a vote takes place after Easter.

But the policy may yet be rescued by the Tories, whose votes could bail out the Government.

The Conservatives broadly support foundation trusts and would take delight in splitting the Labour Government.

Only the Queen Victoria Hospital in East Grinstead is in line for the special status at present, as it was the only Sussex hospital to achieve the top three-star rating in performance tables.

But the Government has said it eventually wants all hospitals to become "super" trusts.