Downing Street has denied Rachel Reeves misled the public about the state of the public finances ahead of this week's Budget.

In the run-up to Wednesday's statement, the chancellor repeatedly talked about a downgrade to the UK's predicted economic productivity that would make it hard for her to meet her spending rules.

But in a letter to MPs sent on Friday, the chairman of the Office for Budget Responsibility (OBR) revealed a forecast of higher wages - which she had not mentioned - would help her meet the rules.

The Conservatives have accused Reeves of giving an overly pessimistic impression of the public finances as a "smokescreen" to raise taxes.

Tory leader Kemi Badenoch said the letter showed Reeves had "lied to the public" and should be sacked.