“If you look at any of the crises that are happening, whether it’s in Syria on the doorstep of Europe, Libya on the doorstep of Europe, Ukraine on the doorstep of Europe, we are completely dependent on the United States.
“I’m a great fan of the US and it’s important we remain strong allies of the US, but it’s important we develop the capability to be able to handle the problems on our own doorstep.
“What I would like to see us develop, and Britain can play a central role in this, is how we make sure that Europe as a commercial market and political union today exercises the power that manages to shape the events on our doorstep rather than having to turn to the US for their help. When the US is unable to, we are powerless.”
Putin must realise that if pro-Russian separatists are proven to be responsible for the “hideous” shooting down of MH17, he must “take responsibility.”
Mr Blair told an event to mark 20 years since he was elected Labour leader that in the face of Russia, Europe and the US must “stay together” in challenging Putin.
“Whatever gaps and differences there are in their position, those gaps should be bridges. It’s absolutely essential that Russia gets a strong and united message, and it has to get with America and Europe standing together.”
Britain should be “leading in Europe” instead of considering a referendum which will create two years of uncertainty if the Conservatives win the next election, Mr Blair said.
The comments will reignite the row over what – if any – military co-operation should happen in Europe outside of Nato.
The EU has a small standing Army of 6,000 soldiers in the Eurocorps, made up of nine nations, mainly France and Germany.
As Prime Minister, Mr Blair faced a furious backlash over proposals for British troops to join a 60,000-strong EU defence force. Mr Blair insisted Britain would retain command over any troops it committed by the Tories warned it was the beginning of a “Euro-Army” and an unacceptable level of integration.