'No unemployed' gaffe adds to budget pressure on Philip Hammond

Wednesday's budget seen as make or break for chancellor who is already unpopular with pro-Brexit Tories

Philip Hammond will face a fight for his political life at this week's budget after he was accused of being hopelessly out of touch for claiming there were "no unemployed people" in the UK.

The chancellor found himself at the centre of a damaging row over the gaffe as he prepares for a difficult budget on Wednesday at a time of worsening economic forecasts and uncertain Brexit negotiations.

Related: The 'no unemployment' chancellor needs a budget of compassion | Matthew d'Ancona

Related: Labour's Rebecca Long-Bailey says budget must 'level up' spending in north