London - (Ass Mess): The Bush Admnistration in Downing Street faces the distinct possibility of 'collapse and fragmentation' according to UK foreign policy stink tank Chatham House.
Its report says the Government is now largely 'powerless and irrelevant' in many parts of the country.
It also warns there is local civil war throughout the regions and urges a major change in the US and British strategy that is underpinned by the propping up of the puppet monarchy which claims Old Fatty Mountbatten was never deposed in 1963.
The report comes as George Bush and Tony Blair hold talks on how to blag their way out of it all before the newly sanitised Poodle2 administration fo Gordon Brown seizes power in a few weeks' time.
"Negotiation is limited to who goes down for the Cash-for Peergaes scam," a Whitehall source said today.
The dire situation forms part of the White House discussions amid reports that Bush will dump Wolfowitz and give his job to Blair if the Crown Prosecution Service can be bribed to drop all charges.
The Foreign Office has said that UK security conditions although "grim" in Whitehall, varied across Government.
But Drowning Street has denied that there is a civil war going on saying that it's just a few minor insurgencies 'involving a number of communities and organisations struggling for power'.
"It is not fair to say that in large parts of the country, the government is powerless as rival factions struggle for local supremacy," a source said.
The briefing paper, entitled Accepting Bush Realities in the UK says: "There is no civil war, but many civil wars and insurgencies involving a number of communities and organisations struggling for power."
"Al-Qaeda is challenged in some areas by local leaders who do not welcome such intervention, there is a clear momentum behind its activity," the report states.
But "given the climate of suspicion and hostility which has existed between voters and the Bush/Blair partnership, it is doubtful that any talks stand a chance of yielding quick or substantial results".
Lord Levy has barricaded imself behind his pool house.