Boris Johnson criticises David Cameron over 'pact with big business on EU referendum campaigning'

David Cameron's alleged pact with big business over EU referendum campaigning is the "biggest stitch-up since the Bayeux Tapestry", Boris Johnson has said.

The former London mayor said allegations that "fat cats" had been secretly agreeing to campaign for Remain while "angling for lavish" government contracts makes the UK look like a "banana republic".

Mr Johnson, who is a leading Leave campaigner, made the comments after a leaked letter to the prime minister from Rupert Soames, CEO of outsourcing company Serco, emerged.

In the letter, seen by the Daily Mail, Mr Soames said he was looking at how to "mobilise corporates" during the campaign:

Mr Johnson insisted that the revelation "stinks to high heaven".

"FTSE 100 chiefs are seeing their pay packets soar while uncontrolled immigration is forcing down wages for British workers," he said.

"Now we learn that some fat cats have been secretly agreeing to campaign for Remain while angling for lavish government contracts."

The revelation comes as the Confederation of British Industry (CBI) urged dozens of businesses to try and persuade their employees to vote to remain in the EU.