Chancellor John Healey and PM Andy Burnham have sent an unusual joint letter to warn fellow ministers they must stay within their budgets.

Burnham's promises on defence, housebuilding and the cost of living could leave the Chancellor scrambling to find cash, analysis has shown.

The newly appointed Chancellor, who replaced Rachel Reeves earlier this month, said it will be a Budget that 'moves money and power out of Westminster, and into every postcode…