John McDonnell has insisted that Labour is “moving towards” supporting a second referendum as the party seeks to stem the flow of defections over Brexit.

The shadow chancellor spoke out at the end of a dramatic week when 8 Labour MPs and 3 Tories broke away to form the Independent Group, in protest at the leadership of both parties.

Dudley North MP Ian Austin became the ninth MP to quit Labour on Friday over its handling of antisemitism allegations - but he said he had no plans to join the breakaway group.

Meanwhile, Theresa May has been warned she faces a major Tory rebellion unless she takes a no-deal Brexit off the table ahead of another set of key votes on the UK’s withdrawal from the European Union.

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