The Sky News presenter confronted Mr Kwarteng over claims from within the Treasury last month that he was "making up" that he held cross-government meetings with the Chancellor's department over possible government support for energy companies amid the spiralling energy crisis. Kay Burley slammed: “You seem to have got at cross purposes with the Treasury over that a couple of weeks ago.

       “And they were saying that you were basically making things up!”

       Mr Kwarteng was adamant that he was unsure where such claims came from but Ms Burley was having none of it.

       She said: “It must have made you very cross! I would have been very cross if people were telling me I was telling porkies!”

       Mr Kwarteng immediately hit back insisting he is o good relations with the Chancellor and the Treasury.

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       He hit back at Ms Burley saying how “respectable people watching this programme” would expect government departments to talk with each other “and that is exactly what we do”.

       The Business Secretary hammered: “I don’t know where that remark came from!”

       Ms Burley hit back: “Well I do! Because it was someone from the Treasury who spoke to our deputy political editor! “And they said he is just making it up!”

       Mr Kwarteng insisted he did not know anything about the claims forwarded by the Sky presenter as tension soared between the feuding pair.

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       Ms Burley replied: “Trust me, I am not lying to you, that is what happened! How cross are you about that?

       “I can't understand that they would say something like that. It is just divisive!”

       Mr Kwarteng hammered: “Well maybe you should ask them! We have very good relations!”

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       It comes after Mr Kwarteng told broadcasters last month that he had been involved in talks with Rishi Sunak’s department and the industry to work out ways to help it through the crisis – prompting a stinging rebuke from the Treasury.

       One source at the department accused Mr Kwarteng of “making things up in interviews” and that the cabinet minister was “mistaken”.

       But No 10 hit back, insisting officials at the Treasury were involved in the cross-government work – appearing to endorse the Business Secretary’s account.

       Speaking to Sky News at the time, Home Office minister Damian Hinds was asked if Kwarteng has been “telling porkies”, he replied: “No, of course not… I know these unknown sources stories come out from time to time."