Jeremy Corbyn's closest aides Seumas Milne and Karie Murphy are facing calls to quit as Labour warn staff of layoffs in the wake of the election disaster.

Strategy chief Mr Milne, who is paid £104,000 and chief of staff Ms Murphy, who earns £92,000, have been condemned by colleagues for their roles in the rout at the hands of the Tories last week.

Following the drubbing general secretary Jennie Formby wrote to workers highlighting the prospect that jobs will have to go after Christmas.

The party is set to see its public funding - the so-called 'short money' allocation - drop by around £1.5million a year, from the £7.7million received last year.

Staffers and MPs insist a large chunk of that money should come from axing Mr Milne and Ms Murphy.

However, the pair are believed to have transferred from standard adviser contracts, which are tied to fate of the current Labour leader, to permanent party contracts around a year ago.

Labour strategy chief Seumas Milne (pictured), who is paid £104,000 and Jeremy Corbyn's chief of staff Karie Murphy, who earns £92,000, are facing calls to quit

Both Ms Murphy, pictured greeting Mr Corbyn at Labour HQ in 2017, and Mr Milne have been condemned by colleagues for their roles in the election rout at the hands of the Tories last week

Following the election drubbing general secretary Jennie Formby wrote to Labour staff highlighting the prospect that jobs will have to go after Christmas

The angry row is expected to come to a head at the Parliamentary Labour Party meeting tomorrow night.

One seething Labour MP told MailOnline: 'The ones that have got to go - Seumas and Karie.

'There is a lot of anger among staff. The two key architects of the defeat have insulated their own position. It's f***ing outrageous.'

They added: 'People who are on a lot less money than them are going to be made redundant after Christmas.'

A senior Labour staffer said most advisers were on contracts that specified they would only be employed 'as long as Jeremy Corbyn is leader of the Labour Party or a general election, whichever is the soonest'.

They said it was 'incredible and unprecedented' that Mr Milne and Ms Murphy seemed to have been put on permanent contracts.

'The staff are furious. Hundreds of staff could be made redundant because they are on general election contracts,' the staffer said.

'You have got probably the best part of £250,00 a year if you get rid of Seumas and Karre.

'If you add in the cost of NI, pension and perks you are getting into the best part of a quarter of a million pounds.,

'There is a lot of anger towards them that they have not said they are going.'

The staffer said there was a widespread belief that the clique around Mr Corbyn was hoping to 'stitch up the leadership process'.

Mr Corbyn has announced he is stepping down but his closest advisers have yet to confirm that they are going

'Everyone knows Karie Murphy and Seumas have power of attorney over Jeremy Corbyn,' they said.

'One of the things you could do to placate the PLP is to fire them. Jeremy is going but they've got to go.'

A Labour spokeswoman said the party did not comment on staffing matters.

Under the current short money rules, opposition parties receive £17,673 per year for every MP, and £35.30 for every 200 votes at the general election.

The number of Labour MPs has fallen by 60 compared to the 2016 figure, and the party received two and a half million fewer votes.