Cameron Stands By Osborne And Praises IDS

The Prime Minister has praised both George Osborne and Iain Duncan Smith as he seeks to defuse a bitter row in the Tory party over benefit cuts for the disabled.

The Chancellor is facing calls to quit following the dramatic resignation of the Work and Pensions Secretary over Mr Osborne's Budget plan to cut disability benefits by £4.4bn.

Speaking in the Commons, the Prime Minister confirmed he was shelving the proposed cuts to the Personal Independence Payment (PIP) that caused Mr Duncan Smith to quit.

And he insisted the Conservatives run a "compassionate", "one nation" Government which is cutting taxes for the lowest paid, creating jobs and introducing the national living wage.

"All of this is driven by a deeply held conviction that everyone in Britain should have the chance to make the most of their lives," Mr Cameron said.

"None of this would be possible if it wasn't for the actions of this Government and the work of my right honourable friend, the Chancellor, in turning our economy around."

As he backed the Chancellor, Mr Cameron said Mr Duncan Smith had "contributed an enormous amount to the work of this Government and he can be proud of what he achieved".

Mr Duncan Smith's successor, Stephen Crabb, told the House there were "no further plans" to make welfare cuts in order to fill the Budget black hole caused by the PIP U-turn.

"I am absolutely clear that a compassionate and fair welfare system should not just be about numbers," he said.

"Behind every statistic, there is a human being and perhaps sometimes in government we forget that."

But Labour leader Jeremy Corbyn questioned the "enormous hole" left by the planned cuts being ditched.

Mr Corbyn told MPs: "It's really up to the Prime Minister to persuade his great friend the Chancellor of the Exchequer to come here and explain how he's going to fill that hole or he perhaps he should consider his position and look for something else to do.

"Because clearly he hasn't be very successful at producing a balanced Budget in the interests of everyone in this country, particularly those with disabilities."

And he criticised Mr Osborne's absence from the House.

Addressing the Prime Minister, he said: "You have come here today, the Secretary of State for Work and Pensions is here today, practically every other cabinet minister is here today.

"Whatever has happened to the Chancellor of the Exchequer? Where is he today?

"Could you not, instead of covering up for your friend, ask him if he would be kind enough to come along to the House and explain why, for the first time in my memory in Parliament, a government's budget has fallen apart within two days of its delivery and there is an enormous hole in it?"

The Chancellor was also a no-show when his opposite number, John McDonnell, asked an urgent question in the Commons earlier.

Mr McDonnell branded the Chancellor a coward for not turning up, saying he had left Treasury minister David Gauke to "defend the indefensible" and said the Budget was in "absolute chaos".