'Where is the Chancellor?' Tories accuse Rachel Reeves of HIDING as pound sinks and UK borrowing costs surge

Stride added that it was a "bitter regret" that the Chancellor was "nowhere to be seen" as the premium on UK borrowing costs compared to German bonds reached its highest level since 1990.

The surge in borrowing costs resulted in 30-year gilt yields hitting levels not seen since 1998 and 10-year gilt yields spiking to a post-2008 peak.

The pound has also tumbled against the dollar as a result of the market turmoil, falling from a summer high of $1.34 to a 15-month low of $1.23.

Reeves did not appear in the House of Commons to address the Shadow Chancellor's urgent question herself, instead putting up Chief Secretary to the Treasury Darren Jones.

Jones insisted that the markets continue to "function in an orderly way"

However, Stride warned Jones that Labour risks "breaching its fiscal rules" in Reeves's upcoming financial statement in March.

Jones insisted the Government’s fiscal rules are “non-negotiable”, warning that public services will have to “live within their means”.

He also took aim at the Tories over the economic legacy of recent Governments, adding: "They could not make the numbers add up. They’ve stacked up the country’s credit card. They’ve left it to this party to deal with, and we are going to deal with it."

Labour continues to highlight Liz Truss's disastrous mini-Budget as it looks to plug a £22billion black hole.

The markets were thrown into turmoil by Truss's measures which looked to introduce a £45billion package of unfunded tax cuts.

However, the former Prime Minister this morning sent a cease and desist letter to Sir Keir Starmer demanding that he stops claiming she crashed the economy.

Truss's lawyers warned the claim is "false and defamatory" and is causing "continuing damage to our client’s reputation", suggesting it even led to her defeat in South West Suffolk.