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As the Treasury continues to lock horns with Angela Rayner and Yvette Cooper over housing and police force budgets, Cabinet minister Peter Kyle sends a strong signal of the government’s intent

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The government has refused to rule out real-terms spending cuts to the police force and the housing budget, as the battle between the Treasury and senior Cabinet ministers continues ahead of Wednesday’s spending review.

As the chancellor attempts to walk a tightrope between delivering on the party’s election promises while sticking within the bounds of her self-imposed fiscal rules, she has locked horns with Angela Rayner’s Ministry of Housing, Communities and Local Government and Yvette Cooper’s Home Office – who are both understood to have dug their heels in over cuts to their budgets after months of wrangling.