Labour activists and unions have delivered a stinging rebuff to Tony Blair over his handling of the NHS.
The Labour leadership went down to overwhelming defeat at the party's annual conference in Manchester on a Unison motion condemning the marketisation of the health service.
It was the second reverse of the day for the leadership, after conference voted for the second year in succession for direct state investment in new council housing, against the recommendation of the ruling National Executive Committee.
The development came as hundreds of Logistics workers staged a second 24-hour strike which hit distribution centres across England.
Unison has urged the Government to suspend the contract because of fears that jobs and employment conditions will be hit.
Scores of strikers protested outside the conference centre in Manchester and met with Health Secretary Patricia Hewitt who defended the Government's policies.
She later told the conference that she was not going to turn her back on the chance of saving £1 billion over the lifetime of the 10-year contract, which is due to transfer to DHL on Sunday.
The minister said assurances had been given that workers transferring will have the same terms and conditions.
As activists delivered a defeat on Mr Blair, another NHS Trust has warned of possible redundancies under plans to cut costs.
Kingston Hospital in south-west London said it was facing a potential loss of income of £7.5 million this financial year.
Medical Director Dr Colin Todd said: "If there is a reduction in our income there are likely to be redundancies but at this stage we anticipate it will be less than 100 and in the first instance its quickly achieved through vacant posts."
