The 76-year-old woman died following a house fire in Newtown, mid-Wales, which broke out after civilian crews across Britain walked out at 6pm for the first time in 25 years and the prime minister dug in for what threatens to be his biggest industrial crisis since Labour won the 1997 election.
An elderly man died following another fire, in Burnley, Lancashire, a hospital spokeswoman said early today.
London Underground shut its deepest stations for the duration of the 48-hour stoppage and schools, hospitals, other public services and private companies took safety precautions.
Dyfed Powys police said the woman had died at Welshpool hospital within two hours of the fire, which broke out at her home. A green goddess arrived at the house nine minutes after the emergency call was received. Firefighters left their picket line at the main station in Newtown and attended the fire in two tenders after seeing the green goddess drive past, according to union sources. They entered the building using breathing apparatus to try to save the woman.
The Fire Brigades Union leader, Andy Gilchrist, said: "Deaths in fires always affect firefighters deeply. Our thoughts are with the woman's family and friends." The Liberal Democrat MP Lembit Opik, whose Montgomeryshire constituency includes Newtown, said: "We should not point a finger of blame or speculation. But I do know this: the FBU will not win support if people do die because of the strike."
The death will bring enormous pressure on both sides of the negotiating table. Mr Blair has already pinned the blame for the walkout firmly on the FBU's leadership, saying they had "chosen confrontation" by rejecting an 11% pay offer over two years. "If we said yes to 40% for firefighters, how could we or any government say no to a 40% claim for teachers, or nurses or police officers?" Mr Blair asked MPs during the debate after the Queen's speech.
Mr Gilchrist was equally uncompromising when he led workers at the Lambeth station, over the river Thames from the Houses of Parliament, out on strike. The former firefighter said: "There is a resolution to this dispute. It is a significant and serious increase in the amount of money our people are paid for the tremendous job they do."
With the FBU threatening to name fresh strike dates into the new year, in addition to three eight-day stoppages already scheduled before Christmas, the army commander directing Operation Fresco admitted he would be "bluff ing" if he claimed it could provide similar cover.
Brigadier Roger Brunt said the 19,000 service personnel operating 827 green goddesses would concentrate on rescuing people and might have to leave buildings to burn. "We save life first and we do the rest if we possibly can," he said.
In Greater Manchester an army officer has ordered that none of the 38 green goddesses under his command should do more than 30mph, to avoid them rolling over on bends.
The firefighters went ahead with the strike after a government-appointed inquiry headed by Sir George Bain proposed a 4% pay rise this year followed by an overall 7% next if the union accepted far-reaching changes to working practices.
Mr Blair insisted that ministers had been "as reasonable and as generous as possible", although his deputy, John Prescott, later appeared to distance the government from this week's deadlocked negotiations between local employers and union leaders. He said it was "up to the employers to make a judgment on what is acceptable on pay" and hinted more money could be offered in return for productivity improvements.
Urging a resumption of negotiations, Mr Prescott said: "It may be 11%, or even more, certainly not less. But it is a matter for the trade unions to negotiate about and you have to enter into the negotiation."
He held two meetings with Mr Gilchrist within 16 hours in the hope of securing a voluntary agreement under which strikers would abandon picket lines during emergencies.
Cobra, the Cabinet Office's civil contingency committee, is monitoring the crisis and thousands of police have been sent to escort green goddesses.
The Tory leader, Iain Duncan Smith,said: "The firefighters should call off their strike."
The dispute took its toll on the state opening of parliament, with the number of troops on parade halved yesterday to 520 as soldiers were deployed on fire duties.