Pro-Brexit Tories warn Osborne over emergency 'punishment' budget

Michael Gove has become the most senior Tory to announce he will oppose the emergency austerity budget the Chancellor intends to hold if Britain backs Brexit.

The move would mean the Leave campaigner would be forced to quit his Cabinet post as Justice Secretary.

George Osborne is facing open revolt from Eurosceptic Tories, with Mr Gove becoming the 66th MP vowing to rebel against a new financial statement.

George Osborne has defended his stance on creating the Brexit budget.

Pro-Brexit Tory campaigners have reacted angrily to the financial implications the Chancellor has suggested in his manifesto, but when questioned by ITV News political editor Robert Peston, Mr Osborne said the EU vote was more important than his own career.

He said: "It's not about one politician or one career, it's about the future of our country.

"What's the point in getting involved in public life if you're not prepared to fight for the things that are really important to our future and our country?"

David Cameron defended George Obsorne's Brexit budget, following critisicm from Labour leader Jeremy Corbyn.

Speaking in the House of Commons during Prime Minister's Questions, he said the referendum was a "huge choice for our country", but added that "choices have consequences".

"If we vote out, the experts warn us we will have a smaller economy, less employment, lower wages and therefore less tax receipts - and that's why we would need to have measures to address a huge hole in our public finances.

"Nobody wants to have an emergency budget, nobody wants to have cuts in public services, nobody wants to have tax increases. But there's only one thing worse than not addressing a crisis in our public finances - and that's ignoring it."

Labour leader Jeremy Corbyn has said his party will oppose any post-Brexit budget.

His comments come on the day George Osborne launched an 'illustrative budget' which highlights how far the economy could slide if the UK vote to leave the EU.

Mr Corbyn said Labour: "Would oppose any post-Brexit budget, just as we've opposed any austerity budget put forward by this Government."

"We're going to be voting to remain because it's the best way to protect families, protect jobs and protect public services.

Mr Corbyn criticised Conservative MPs who formulated the budget by stating they were "members who backed the bedroom tax, backed cutting disability benefits and slashed care for the elderly".

Alistair Darling has slammed the Leave campaign for creating a "flimsy and fraudulent" manifesto.

Speaking at a Remain event in Ashford, he said: "The Leave campaign has no idea no plan whatsoever. Any political party seeking an election on such a flimsy and fraudulent prospectus would've been torn to bits right now.

"We do know we will have years and years of uncertainty. Why on earth would we want to inflict that on ourselves all over again?"

Mr Darling quoted from Roberto Azevêdo,the head of the World Trade Organisation, who said it will take a decade to negotiate trade agreements and insisted "Britain's economy will be smaller and Britain's families will be poorer".

Making reference to the emergency budget that he was launching, he added: "There would not be one emergency budget, but one after another".

Former Chancellor of the Exchequer Alistair Darling has said an economic "explosion will follow" if Britain leaves the European Union.

He said: "Once you light a blue touch paper in our economy, you can never be sure where it'll end up. We do know an explosion will follow.

"Look at what's happening in the real world right now. Sterling is more volatile. Investment decisions are on hold. Almost $100bn has been wiped off the stock exchange in recent days.

"All of this will damage our investment and productivity", he added.

Labour MP Alistair Darling has said Britain is "stronger together, working together, working with, not apart from our closest neighbours and allies".

Launching the emergency budget alongside George Osborne, he added that Britain is "a gateway to Europe" as large international firms "want to invest and create jobs here".

Darling also credited EU regulations that has protected employees. He said: "Workers rights are protected too. Maternity and paternity pay, paid holidays, the right not to be discriminated against at work - it all stemmed from EU law."

George Osborne has said businesses would be "hard hit" if the UK decided to leave the EU.

Speaking at the launch of his emergency budget in Ashford, the Chancellor of the Exchequer listed the likely tax increases.

He said there would be a 5% increase on alcohol and fuel, and a similar rise in inheritance tax. There would be £2.5bn cut to the NHS, £1.2bn slashed off the defence budget, education spending will be down £1.5bn and the basic rate of income tax will increase by 10%.

Labour MP Alistair Darling has pleaded with voters to remain in the EU as it has helped "bring prosperity".

The former Chancellor of the Exchequer, who was sharing a stage with George Osborne, said: "For every £1 we put into the EU, we get £10 back in terms of benefits.

"It's benefits are unarguable and rather obvious - it's jobs. Membership of the biggest single trade market in the world has helped bring prosperity", he added.

ITV News political editor Robert Peston said the emergency budget warning by Alistair Darling and George Osborne is a huge moment for the Remain campaign.

He adds that if they fail to stem the Leave momentum, the UK will probably vote to be out of the EU.