David Lidington, leader of the House of Commons, addresses MPs

Ministers faced questions over the collapse of construction giant Carillion, which holds a string of lucrative Government contracts for railways, education and health projects.

The firm went into administration on Monday as a result of its lenders refusing to provide any more financial support, raising fears about the future of hundreds of major projects at an already challenging time for the British economy.

Cabinet Office minister David Lidington told MPs that the Official Receiver would investigate the role of company directors in the collapse and warned they could face "severe penalties". He was also set to chair a meeting of Cobra - the Government's emergency response committee - on the situation.

Meanwhile, pro-European MPs, including several Tory rebels, went to Brussels for talks with the EU’s chief Brexit negotiator Michel Barnier as Brexit talks gear up for their next phase.

Jeremy Corbyn also tightened his grip on the party as three Momentum-backed candidates - including his close ally Jon Lansman - swept to victory in the NEC election, shifting the party’s ruling body to the left.

And Ukip leader Henry Bolton faced calls to quit, despite announcing that he had dumped his girlfriend for sending racist texts about Prince Harry’s fiance Meghan Markle.