PM 'has full confidence' in Osborne amid disability benefit cuts U-turn row

David Cameron has signalled his support for his beleaguered Chancellor after he was forced to abandon £4 billion of benefit cuts for the disabled.

Asked if the Prime Minister still had full confidence in George Osborne in the wake of the dramatic resignation of Work and Pensions Secretary Iain Duncan Smith, Mr Cameron's official spokeswoman replied: "Absolutely."

She said the Government would now bring forward alternative proposals to the cuts to Personal Independence Payments (PIPs) - announced by Mr Osborne in the Budget on Wednesday - in the Autumn Statement towards the end of the year.