Downing Street insisted Rachel Reeves is "going nowhere" after the Chancellor was in tears during Prime Minister's Questions.
Aides scrambled to quell speculation over her future, saying she was dealing with a "personal matter" and she was not planning to quit. Ms Reeves wiped away tears during a tense PMQs, where Mr Starmer came under attack from Tory Kemi Badenoch over his disability cuts U-turn.
The Prime Minister swerved a question on his Chancellor's future during the clash as Ms Badenoch crowed "she looks absolutely miserable". But No10 moved swiftly to insist she was "going nowhere" and had the PM's full confidence for the rest of the Parliament.
Cabinet Ministers were rallying round Ms Reeves tonight after a bruising few days for the Government. One top minister told the Mirror that they were behind her, adding: "She has an incredibly tough job." Another said Ms Reeves "100%" had the confidence of her colleagues.
Health Secretary Wes Streeting told ITV: “Rachel, as her team have said today, has something going on personally, not professionally. It’s easy to forget but we are all humans, as politicians, and we have lives like everyone else.”
READ MORE: Rachel Reeves had 'altercation with Commons Speaker' before crying at PMQs
Transport Secretary Heidi Alexander described Ms Reeves as “a superbly skilled, talented, resilient politician” and said the PM had been clear she is not going "anywhere."
“It doesn’t surprise me to hear the Prime Minister say that he’s got absolute faith in her and that she’s not going anywhere," she told LBC. “I’ve known her for a long time and I know that she is a superbly skilled, talented, resilient politician and I think the Labour Party and the Labour government owe her a lot for the leadership she showed, particularly in advance of the election, to get us to a place where the public said: ‘We’ll trust the Labour Party with our money.’”
Cabinet Office minister Nick Thomas-Symonds told LBC "the Chancellor is fine, she is working in Downing Street". He said: "Rachel is the Chancellor of the Exchequer, but she is also a human being. And you did see her being a human being. I've known, Rachel many, many years. She's extraordinarily resilient, highly able and has been doing an excellent job." He added that “Prime Minister's Questions is an absolute bear pit”.
Ms Reeves appeared upset when she entered the Commons chamber and was then said to have had an "altercation" with Commons Speaker Lindsay Hoyle just before PMQs.
A minister told The Mirror that "[the Speaker] ended up apologising" after the row, believed to stem from the previous day when he asked her to give shorter answers during Treasury Questions. The Speaker's spokesperson and Ms Reeves' team both declined to comment on the claims.
In a heated PMQs session, the PM clashed with Ms Badenoch over the decision to scrap a key plank of his welfare reforms in a chaotic climbdown on Tuesday. In the face of a Labour revolt, the Government shelved plans to restrict eligibility for the Personal Independence Payment (PIP) until after a review next year, only 90 minutes before MPs were due to vote.
The retreat leaves a nearly £5billion black hole in Ms Reeves' spending plans, fuelling speculation she could be forced to hike taxes. She must also find £1.25billion for last month's partial U-turn on the winter fuel allowance cut.
In a fiery exchange, Ms Badenoch accused the PM of treating the Chancellor as a "human shield". The Conservative leader said the "welfare bill was created to plug a black hole created by the Chancellor. Instead, they're creating new ones".
Ms Reeves reacted from the front benches, but Ms Badenoch hit back: "She's pointing at me, she looks absolutely miserable. They can point as much as they like but the fact is Labour MPs are going on the record saying the Chancellor is 'toast' and the reality is that she is a human shield for his incompetence."
She added: "In January, she said she will be in post until the next election. Will she really?" Mr Starmer dodged the question, instead saying Ms Badenoch "certainly won't".
Labour minister Ellie Reeves appeared to be holding her sister's hand as she left the chamber.
The PM's press secretary said Ms Reeves had not offered her resignation and would remain as Chancellor for the rest of this Parliament. Asked why the PM did not spell this out, his press secretary said: "He has done so repeatedly.
"The Chancellor is going nowhere. She has the Prime Minister's full backing. He has said it plenty of times, he doesn't need to repeat it every time the Leader of the Opposition speculates about Labour politicians."
But Ms Badenoch’s spokesperson doubled down, saying there was “something very strange going on” and that saying it was a personal matter “doesn’t really clear it up”.
A spokesman for the Chancellor added: “It’s a personal matter, which - as you would expect - we are not going to get into. The Chancellor will be working out of Downing Street this afternoon.”
Stephen Flynn, SNP Westminster leader, said: "Like almost all MPs I don't know why the Chancellor was upset in the chamber today, but I do hope she is okay and back to her duties this afternoon. Seeing another person in distress is always very difficult, and we are wishing her well."
Earlier, Cabinet Office Minister Pat McFadden admitted the benefits U-turn will have “financial consequences” as economists warned there will be no net savings by 2029/30.
Institute for Fiscal Studies' incoming director, Helen Miller, said: "Since departmental spending plans are now effectively locked in, and the Government has already had to row back on planned cuts to pensioner benefits and working-age benefits, tax rises would look increasingly likely."
The PM declined to rule out putting up taxes later this year, telling MPs: "No Prime Minister or Chancellor ever stands at the despatch box and writes budgets in the future."
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