Downing Street has didn't pour chilly water on rumours Jeremy Hunt is planning on quitting forward of the General Election to keep away from a humiliating election evening defeat.

The Chancellor, whose Surrey constituency is underneath menace from the Liberal Democrats, is reportedly fearful he could expertise a ‘Michael Portillo’ second on election evening, in scenes paying homage to the 1997 toppling of the then-Defence Secretary.

Today Mr Hunt tried to close the rumours down, which had been printed on Sunday, with a spokesman saying: “He’s not resigning as Chancellor, and he’s standing in the next election”.

However Downing Street later fanned the flames of hypothesis, with a noncommittal assertion to journalists that “the Prime Minister and Chancellor are working extremely closely together on the autumn statement”.

The PM’s spokesman added: “Obviously we wouldn’t speculate on constant reshuffle speculation.”

The assertion notably didn't again the Chancellor’s place for the long-term.

On Sunday, the Observer mentioned “several senior sources nationally and locally” informed the paper they anticipate Mr Hunt to announce he's stepping down nearer to the election.

The hypothesis additionally raised questions on whether or not Rishi Sunak might afford to have Mr Hunt keep on as Chancellor till the election.

The Prime Minister is anticipated to conduct a wide-ranging Cabinet Reshuffle in some unspecified time in the future within the subsequent few weeks, regardless of solely just lately shaking up his high ministers.

The reshuffle to nominate Grant Shapps to interchange Ben Wallace as Defence Secretary - and Claire Coutinho as Net Zero Secretary - was a lot much less far-reaching than Mr Sunak is believed to have needed.

Mr Sunak is now underneath renewed strain to get a brand new, recent high ministerial staff in place following final week’s humiliating double by-election defeat.

A minister informed the Mail it's time to “clear out the dead wood” and “grab the change agenda”.

The timing of the reshuffle shouldn't be recognized, although Sky News’ Sam Coates has been informed he might be “highly confident” it received’t be this week.

It’s subsequently probably Mr Sunak’s Government will announce a raft of latest insurance policies in subsequent week’s King’s Speech, just for the PM to then sack senior ministers who had been supposed to implement them.

An insider has mentioned civil servants are already getting ready “welcoming packs” to transient new ministers.

Jeremy Hunt was introduced in as chancellor following Liz Truss’s sacking of Kwasi Kwarteng, in a last-ditch try to rescue her premiership.

It was then thought by the incoming Sunak administration that dispatching him would as soon as once more spark turmoil within the markets.

Mr Hunt is anticipated to ship his Autumn Statement subsequent month, although it’s believed tax cuts are usually not on the playing cards.