The uneasy truce between Scottish Nationalists and the Labour Party at Westminster is on the verge of breakdown in a dispute over what to call the new administration at Holyrood, an argument which has also left the BBC in two minds.

Only days after Alex Salmond, the First Minister, declared that his devolved administration in Edinburgh was no longer to be known as an “Executive” but instead must be referred to as a “government”, Gordon Brown has let it be known that he will not recognise the new name.

But the BBC appeared unsure of where it stood on the issue. The BBC in Scotland announced that it would adopt the new designation while the message from London was subtly different.

North of the border a spokesman for the corporation said: “We’re referring to it as the Scottish Government in the same way as we have changed from the Home Office to the Ministry of Justice. This will be the same throughout the BBC.”

But, in London, the word was: “In our coverage, it will be sensible for the BBC to use this phrase ‘Scottish government’ in context, taking care to avoid any confusion with the UK Government. At the same time, the phrase Scottish Executive will continue to be used in legal contracts. Consequently, it is not wrong to use the term ‘Executive’ in our coverage, again in context. It seems likely, however, that the phrase ‘Scottish Government’ will gain more common currency. Our usage should reflect that.”

Scottish Television said that it would be using the phrase Scotttish Government. Other media appeared to agree and follow the same line.

After the Prime Minister’s intervention, ministers and civil servants in London have been ordered to continue to refer to the “Executive” in all correspondence and in discussions with Mr Salmond’s ministers and officials.

Mr Brown has apparently listened to advice that Mr Salmond’s rebranding forms a part of the SNP leader’s “independence creep” agenda, which intends to show that Holyrood is on a par with Westminster, even though it has no powers over defence, foreign affairs or welfare.

A senior British Government source said: “We don’t need to support Mr Salmond in his PR repositioning of himself. It’s a confidence trick — an attempt to imply there is a government that does not exist.”A problem that Mr Salmond faces is that, according to the 1998 Scotland Act, his administration is the “Scottish Executive”, the name that will continue to appear on legislation in the Parliament in Edinburgh.

However, some of Mr Brown’s Labour counterparts in Scotland — including the leader-elect Wendy Alexander — are already calling the administration the “Scottish Government”. Jack McConnell, the former Labour First Minister, used the phrase regularly when he was in power.

The issue came to prominence on Monday when the new name appeared on the administration headquarters in Edinburgh. Official letters, documents and publicity material also carry the “Scottish Government” logo.

The Royal Coat of Arms of the United Kingdom has been removed from all official publications and replaced by the Saltire. All this was done, Mr Salmond said, for £100,000. A spokesman for Mr Salmond said: “The UK Government needs to get up to speed. The new name has been widely accepted in Scotland.”

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