Other concessions offered by the government include allowing existing claimants to keep the health element of Universal Credit. Sky News understands that some senior rebels are willing to accept the concessions - with one saying that "the concessions will be positively received, and I expect to vote with the government now".

A minister could not say how the Government will pay for its climbdown on its flagship welfare Bill. Stephen Kinnock, the care minister, said Rachel Reeves, the Chancellor, would set out the “whole of the fiscal position” at the autumn Budget.