This transcript from Channel 4 just shows that Bush and Blair really are having an affair:
George Bush: … Thanks for sweater it’s awfully thoughtful of you
Tony Blair: It’s a pleasure
George Bush: I know you picked it out yourself
Tony Blair: Oh, absolutely, in fact I knitted it. [Laughter]

George Bush: Yeah, yeah, he is sweet
Tony Blair: He is honey.
[But who are they talking about here? Could it be John Howard?]
More on the real story at Bush lunch chat is caught on tape, BBC.
It’s probably also a good time to mention this love song from Bush to Blair.