Tony Blair's return to Middle East diplomacy reopens old wounds and new doubts

By Nidal al-Mughrabi, Andrew MacAskill and Kate Holton

CAIRO/LONDON (Reuters) -When Tony Blair was first tasked with forging a lasting peace between Israel and the Palestinians in 2007, the White House cautioned that the former British prime minister was not "superman" and "he doesn't have a cape".

After failing to achieve much of note in that role, Blair is preparing once again to tackle one of the world's most intractable conflicts after agreeing to serve on a committee led by U.S. President Donald Trump to run Gaza.

Blair's inclusion sparked disbelief among Palestinian politicians and analysts, and among many attendees at the annual conference of his own Labour Party in Britain - his reputation forever sullied by his decision to back George W. Bush's 2003 invasion of Iraq.

But the potential appointment - if the plan goes ahead - was welcomed by some former diplomats and colleagues who argued that Blair was trusted by the U.S., the Israelis, and many of the Gulf states - and that it was difficult to find anyone who could unite all sides.

Some who back him for the role pointed out that as British prime minister he also played a key role in bringing peace to Northern Ireland, after 30 years of sectarian violence there.

HAMAS DOES NOT WANT ANY ROLE FOR BLAIR

Hamas official Taher Al-Nono rejected any role for Blair, saying the group would not accept the imposition of "foreign guardianship over our people".

"Our people are more capable of managing their own affairs themselves," he said.

Blair was included in Trump's 20-point peace proposal for Gaza, which would end the war between Israel and Hamas militants and see a "Board of Peace" of international overseers take a role, led by Trump and including Blair in an undefined role.

Trump said Blair had asked to join the board and described him as a "very good man".

Blair's office declined to comment further on any role but released a statement saying the proposal was a "bold and intelligent plan" which offers the best chance to end the war.

The 72-year-old spent 10 years as prime minister in Britain, and hours after he quit in 2007, he was named as the Middle East envoy representing the U.S., Russia, the United Nations and the European Union, tasked with building Palestinian institutions and promoting economic development.

But his stated goal of securing a negotiated two-state solution made no progress and faltering peace talks collapsed in 2014. Many Palestinians still regard him with suspicion for a mediation role they saw as favouring Israel.

Since stepping down in 2015 he has launched the Tony Blair Institute, which advises governments and has Oracle founder Larry Ellison as a financial backer. Blair has also been an adviser with JPMorgan since 2008, sitting on the biggest U.S. bank's international council which advises on geopolitics.

BLAIR CRITICISED FOR IRAQ, BEING TOO CLOSE TO ISRAEL

Blair's past record could anger Palestinians, who view him as biased towards the United States and Israel, and, like many Arabs, see the invasion of Iraq as a war crime, said Hani Al-Masri, a commentator on Palestinian politics in Ramallah.

"Tony Blair is one of the things that is ridiculous," he said. "His reputation among Palestinians is black."

A diplomat from one Middle East country attending the Labour conference laughed out loud when asked about Blair's involvement, saying: "too toxic".

But one former British ambassador who worked under Blair in the region said it was wrong to view Blair as biased towards Israel, only that he understood that solutions would need to be acceptable to Israel's elected leaders.

"He understands that for all its faults, Israel is a democracy. You have to work with Israel for better or worse - and in recent years, for worse - but he's willing to do it."

SUPPORTER CITES BLAIR'S 'ABILITY TO BRIDGE'

Tom Kelly, Blair's spokesman when prime minister, said anyone looking for a universally popular figure in the Middle East would be "looking for a very, very long time", but that Blair had the ability to understand all perspectives and paint a picture of a better future.

Miran Hassan, the director of the Labour Middle East Council, who came to Britain as a refugee from Iraq in 1999, told Reuters that although he would not be popular for saying so, Blair could still be a good choice.

"He has an ability to bridge diplomatic relations at incredibly senior levels where decisions can be made," he said. "I think that will be beneficial".

But many lawmakers and supporters within the centre-left party that Blair once led could not see beyond Blair's role in Iraq.

Kim Johnson, a Labour member of parliament, told Reuters she thought his involvement was "outrageous and disgusting. He is completely the wrong person for a job that is about trying to find peace."

(Writing by Kate Holton; additional reporting by Amanda Ferguson in Belfast, Ali Sawafta in RamallahEditing by Peter Graff)