defence minister Ivor Caplin MP today revealed he will stand down at the next General Election.

The Hove and Portslade MP and minister for veterans has stunned colleagues in the Labour party by announcing he will retire from politics next year.

The father of three, who today celebrates his 46th birthday, will quit the £110,000 a year job to pursue his business interests.

Election rival Nicholas Boles and his Conservative supporters welcomed the news, claiming it would increase their chances of winning back the seat.

Hove holds a special significance for the Government since the Prime Minister Tony Blair greeted the groundbreaking 1997 election result in the constituency by saying his national victory had been secured. Brighton and Hove Labour Party has been thrown into disarray by the surprise decision and will meet today to discuss choosing a new candidate.

Brighton and Hove City Council deputy leader and Hove constituency chairwoman Councillor Sue John is considering standing and finance councillor Simon Burgess confirmed he will also run.

Mr Caplin insisted his decision had nothing to do with the Iraq war. He said: "This is a major decision and this announcement is about being honest about the future. There are other opportunities and other challenges I would like to pursue. This is not about policy or politics and Tony Blair will continue to have my strong support."

Mr Caplin worked as a quality manager in financial services for Legal and General for two decades before going into politics.

Mr Boles, said: "Like everyone else, I wish Ivor the very best in his new career.

"There has been talk and rumours in the Labour Party about whether he was going to hold the seat and our canvas returns and the Hangleton by-election suggest he wasn't.

"Mr Caplin is facing the reality that would face him at the election and I am sure no-one can blame him for deciding to quit while he is ahead."

Mr Caplin earned enormous respect across the city for his work in regenerating the area but has been dogged by angry protests after throwing his full weight behind the war in Iraq.

Labour colleague Mr Lepper, who represents the neighbouring Pavilion constituency, said: "We did have our differences of opinion over Iraq. But Ivor was sincere in his views and the majority of his constituents respected him for that even if they didn't agree with him.

"It's always good to fight as a sitting MP because people will vote on your strong record but I am sure there will be an excellent campaign and team behind whoever becomes his successor."

The Labour Party national executive committee will begin the process of choosing a new candidate at its next meeting.

Women-only shortlists are usually imposed in late nominations and the strongest female candidate at present is Coun John, who has two teenage children and works as Mr Caplin's office manager.

She said: "I was quite taken aback by the decision but Ivor has obviously made his mind up. I am still taking in the information and considering whether to stand. I will be talking to friends and family before making an announcement in the next few days.

"I have worked very closely with Ivor and we do not have any policy differences."

Coun Burgess has three children and works for both Pavilion MP David Lepper and Kemp Town MP Des Turner.

He said: "I was gobsmacked by the decision and this really has been a big shock to the party. It is for the members to decide who stands but it would be a real privilege to serve Hove. I was very concerned about the decision to go to war but believe the Prime Minister did it because of reasons he thought were right."

Mr Caplin was born in Brighton and educated at King Edward's School, Witley, Surrey.

He gained a National Certificate in business studies at Brighton College of Technology but never went to university.

He joined the Labour Party in 1980 and stood for election two years later.

He was elected to Hove Borough Council in 1991 and in 1995 became council leader. When Hove and Brighton merged he became deputy leader of the city council as well as winning the Hove and Portslade seat.

He served as Parliamentary private secretary to the Leader of the House Margaret Beckett and later became a party whip.

Mr Caplin is married to Maureen and has three children, Daniel, Jodie and Joshua. He and his family live in Hove.