Downing Street: Theresa May has full confidence in Philip Hammond
Downing Street has insisted the Prime Minister continues to have "full confidence" in Philip Hammond, despite mounting calls from pro-Brexit Conservatives for him to be sacked.
A spokeswoman for Theresa May said the pair "have a very good working relationship and they work very closely together".
The vote of confidence came amid speculation that the Chancellor could be axed in a looming Cabinet reshuffle.
Mr Hammond has angered Brexiteer MPs over his refusal to earmark cash now for the UK potentially leaving the EU without a withdrawal agreement.
Appearing before the Treasury Select Committee, he said: "We will be ready, we will not spend it earlier than necessary just to make some demonstration point."
But he was immediately slapped down by the Prime Minister, who told the Commons that £250m was being made available to Whitehall departments to cover all potential Brexit scenarios.
Former Chancellor Lord Lawson yesterday said Ms Hammond should pay for the row with his job, while other Tory right-wingers also joined in the criticism.
Andrew Bridgen told The Times: "If he didn’t get on board with Brexit then the PM would have no choice but to remove him. Given the Treasury’s record it’s essential that we have a openly Brexit-supporting Chancellor."
Meanwhile, Sky News revealed that the president of the CBI, Paul Drechsler, has weighed in behind Mr Hammond.
He said the Chancellor was working "tirelessly… to get the best possible deal for the UK and should be unambiguously supported in his efforts".