London, Nov 15: Washington is to give British firms the right to bid for multi-million dollar reconstruction contracts in Iraq as a reward for Prime Minister Tony Blair's loyalty over the war, a newspaper said today. US President George W. Bush is expected to signal the concession, which the times described as a major shift in policy, when he comes to Britain on a state visit next week.
British companies were excluded from the previous round of bidding for the lucrative contracts.
"British firms are excellent firms and I'm sure they will be able to bid competitively," said a leading Bush administrator quoted by the daily.
"I can't prejudge the process, but let's just say it's likely" that British firms will be bidding for the contracts, the source was quoted as saying.
Washington is preparing to award at least 10 contracts worth as much as 15 billion dollars to rebuild Iraq's oil, electricity, health water, and other infrastructure within the next three months.
The first 2.2 billion dollars of primary contracts were confined to US firms.
When bush arrives on Tuesday in Britain for a state visit he is expected to be greeted with major demonstrations from those unhappy about the military action in Iraq.
The independent newspaper reported today that Britain's schools are facing widespread rebellion from pupils who want to skip classes to join protests against Bush's three-day visit. Bureau Report