Brexit: Treasury are 'fiddling figures' says Jacob Rees-Mogg

Jacob Rees-Mogg has accused the Treasury of "fiddling the figures" in order to keep Britain in the EU customs union.

The leading Tory Brexiteer claimed economic models from Philip Hammond's department which found the UK would be worse off if it remains outside the customs union post-Brexit were "clearly politically influenced".

He also said that since the EU referendum was first called in 2016 - with the then-chancellor George Osborne campaigning for Remain - it was clear that the Treasury's economic forecasting had become politicised.

"If you look at the forecasts the Treasury made before the referendum, they were a humiliation. They were clearly politically influenced," he told the BBC Radio 4 Today programme.

"We need to be free to do deals with the rest of the world. We must be out of the protectionist common external tariff which mainly protects inefficient EU industries at the cost to British consumers."

Chancellor Philip Hammond is pushing for a soft Brexit. Credit: PA

Mr Rees-Mogg said the Office of Budget Responsibility was initially set up by George Osborne "because the Treasury forecasts had been politicised" and were considered "unreliable on political grounds".

"With the referendum and with the EU, the Treasury has gone back to making forecasts. It was politically advantageous for them in the past. It is the same for them now," he added.

"So yes, I do think they are fiddling the figures."

The row is the latest outbreak in hostilities in a growing split within the cabinet between Brexiteers and those such as Chancellor Mr Hammond who favour a softer exit.

Several attempts by leading Conservative figures to bring an end to the increasingly public rift have failed to end in-fighting over what shape the final exit deal should take.

Cabinet split: Theresa May has seen growing discord between pro and anti-Brexit ministers. Credit: PA

Last week Mr Rees-Moggs strongly hinted that he would like to see Mr Hammond sacked in an appearance on Peston on Sunday.

A Treasury spokesman rejected the claims made against it.

He said: "Both Treasury ministers and officials are working hard to deliver the best Brexit deal for Britain.

"The Prime Minister and the Chancellor have said repeatedly that we will be leaving both the single market and the customs union.

"Any suggestion to the contrary is simply false."