I think this is easily demystified. The European opposition to 'Frankenfoods' is at least in part motivated by an old-fashioned trade war. Consequently Europeans are much more likely to countenance a ban. Blair, in keeping with his more responsible capitalistic attitude will not play to the import control policy that the longer term ban represents.
The whole issue is much more interesting on the ideological level though. The fear of genetically modified food plays upon people's sense of alienation and loss of control. Food panics are severe in the UK especially, where the atomisation of a formerly well-organised working class is profound. The adamantine belief that scientists are conspiring to poison us Brits has nothing to do with any real public health problems, but is just a reflection of the degree if distrust between a disaggregated population and its authorities.
However, nobody should be surprised that the British Conservative Party should be hostile to scientific advance. Conservatism in the UK has many intellectual roots, some of them allied to industry, but others to romantic anti-industry sentiment. -- Jim heartfield