Raising the stakes in the political battle of his life, Prime Minister Paul Martin promised to call an election within 30 days of receiving the sponsorship inquiry report.

The report from Justice John Gomery is now due in December, meaning Canadians would go to the polls in January 2006.

His message was aimed at the two-thirds of Canadians who tell pollsters they don't want an election now, despite their impressions of the sponsorship scandal. 

"If the Opposition forces an election before then, that is their choice," Martin said. "But I believe we can do better. I believe we can -- and we should -- use the coming months to pursue the public's business.

Down in the public opinion polls and almost out -- due to threats from the opposition to topple his government next month -- Martin tailored his message in an attempt to restore his authority to govern.

While it remains to be seen how the public accepts Martin's offer, Opposition Leader Stephen Harper wasn't impressed.

"What we've all just witnessed a sad sight," Harper said. "A leader so burdened by political corruption within his own party, he is unable to do his job and lead the country, a party leader playing for time, begging for another chance."

Harper had no sympathy for Martin's plea to wait for the Gomery report, saying that waiting for the inquiry's report hadn't stopped Martin from calling a general election in the spring of 2004.

"I have some problem with the prime minister under a cloud picking his own election date," Harper told reporters.

NDP Leader Jack Layton also expressed dismay over the sponsorship scandal, but suggested his party would be willing to co-operate with the Liberals in a vote on the budget, if some changes are made.

"Take out the surprise corporate tax cuts and invest that money into the things people want and need.  The NDP is in no rush to judge the scandal, but we are in a rush to get something done, to getting a better budget passed."

Finance Minister Ralph Goodale had earlier rejected Layton's proposal.

Bloc Quebecois Leader Gilles Duceppe said the revelations at the Gomery inquiry had tarnished Quebecers. "The Liberal Party said it wanted to promote federalism. But in reality the Liberals tried to buy the soul of Quebecers."

Martin called the inquiry to look into allegations of the misspending on the sponsorship program during the time his predecessor, Jean Chretien, was in office.

However, the revelations from the past few weeks of hearings have been more politically explosive than previously expected, and the opposition has been trying to link Martin to some of the sponsorship deals. Martin was finance minister during the time of the sponsorship program.

In his Thursday night address, Martin accepted his share of responsibility for the sponsorship mess. "I was the Minister of Finance. Knowing what I've learned this past year, I am sorry that we weren't more vigilant -- that I wasn't more vigilant," he said.

"Public money was misdirected and misused. That's unacceptable. And that is why I apologized to the Canadian people a year ago."

Martin has been asking the Opposition to wait until Gomery's report this fall before passing judgment on the scandal. He offered little new in Thursday night's address, and analysts say he provided even more airtime for opposition leaders to respond.

"Martin looked contrite and resolute at the same time," says pollster Allan Gregg. "And other three (opposition leaders) ...  were marshalling the case why government was tired and why this goverment must go."

The opposition seems unwilling to wait until after the Gomery report, with public opinion polls showing Conservative support on the rise in many parts of Canada, and Bloc Quebecois support even higher in Quebec.

• Canada AM on Friday: Interviews with Paul Martin (7:15 am) and Stephen Harper (8:05 a.m.)