Angela Rayner’s workers’ rights Bill should be scrapped now that she has quit, the Tories have insisted.

The Deputy Prime Minister’s resignation at the weekend has raised questions over the future of the controversial package, which is expected to cost British businesses up to £5 billion a year.

Shadow business spokesman Andrew Griffith has written to new Business Secretary Peter Kyle, who is taking responsibility for the Employment Rights Bill – which is in its final parliamentary stages – and urged him to scrap it.

The Bill, which has been praised by unions, includes sweeping plans to give stronger rights to workers from day one of their employment and a ban on flexible zero-hours contracts.

Mr Griffith wrote: ‘Rather than proceed with a measure which on the Government’s own impact assessment will reduce employment and growth, now is the time to put the national interest first.’ He added the Bill should ‘be shelved and the Government look afresh at measures to promote the growth and competitiveness of the economy’.