Philip Hammond has been accused by Cabinet colleagues of failing to provide the money needed to prepare Britain for a no-deal Brexit, The Telegraph has learned.

James Brokenshire, the Housing Secretary, has written to the Treasury warning that a no-deal Brexit could put pressure on councils as they face a potential "influx" of elderly expats and the risk of civil unrest on the streets.

His department was given £35million to help councils prepare for Brexit, less than half of the amount it requested. Mr Brokenshire warned that the failure to provide more funding would lead to a "significant risk of disruption".

The Daily Telegraph understands that at least one other department has complained about the Chancellor's failure to release more money for no-deal preparations.

A source said: "The Treasury is not releasing the money. It's all very well Philip Hammond to tell Cabinet that he's putting £2bn into no-deal preparations, but it's no good if they won't actually release the money."