Mel Stride questions Reeves' whereabouts in the Commons
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Brexit: Mel Stride appointed as Leader of the House of Commons
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Chancellor Rachel Reeves faces demands to cancel a trip to China as the UK economy descends into chaos.
She is jetting off to Beijing despite fears that a crisis on the financial markets could force her to impose fresh tax hikes or impose swingeing spending cuts.
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But her deputy, Chief Secretary to the Treasury Darren Jones, told MPs he would not be asking Ms Reeves to come back.
Reform UK MP Richard Tice slammed the decision in the House of Commons, saying: We are heading towards, be under no illussion, a financial crisis."
He said to Mr Jones: "Will you ask the Chancellor to return from her ridiculous trip to China and reverse course, cut daft spending, cut wasteful regulations in order that we can create some growth?"
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Rachel Reeves (Image: Getty)
But Mr Jones said: "I won't, no". He later defended the trip, saying: "We need to improve our trading relationship with countries around the world. That’s why the Chancellor is going to China today."
The Tories' shadow Chancellor Mel Stride has also issued the demand, accusing Rachel Reeves of going "Missing in action".
Mr Stride blasted: "Today Labour has been forced to make a panicked attempt to reassure the markets on the economic mess of their own making."
“But Rachel Reeves is missing in action - instead wheeling out her deputy to defend her loss of control of the public finances.
“The Chancellor should now cancel her travel and focus on this country instead.”
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The pound has tumbled to its lowest level against the US dollar for over a year as government borrowing costs surged further. Yeilds on government bonds, known as gilts, have risen, which means the Treasury must pay more to borrow.
This means that the Chancellor is under more pressure to cut the Government's debt. Economists have warned that the Chancellor could be forced into further tax hikes or cuts to spending plans as a result.
The problem has been sparked by investor worries over rising government borrowing and the mounting threat of so-called stagflation, where the economy sees rising inflation combined with stalling growth.
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Tory Shadow Chancellor Mel Stride attacked Ms Reeves for going missing in action and leaving her deputy to speak to MPs.
He told the House of Commons: "Where is the Chancellor? It is a bitter regret that at this difficult time with these serious issues she herself is nowhere to be seen.
“In the last 48 hours borrowing costs have reached a 27-year high and it is the Chancellor’s decisions that have led us here. Before the election (Rachel Reeves) promised that Labour would get debt falling, they would not fiddle the figures, they would not raise taxes and they would grow the economy, but the economy is now flatlining."