Sir Keir Starmer faces mounting pressure as he faces a potential leadership tussle with Greater Manchester mayor Andy Burnham.
The prime minister reportedly will not try to block Mr Burnham from becoming the Labour candidate in Makerfield, after he confirmed he would seek permission from Labour’s NEC to stand.
No 10 indicated to Labour MPs that it will not seek to block Mr Burnham, who wants to stand in the seat that Josh Simons is giving up to allow him to return to Parliament and to challenge Sir Keir Starmer.
Earlier, Wes Streeting dramatically quit as health secretary, and is now widely expected to mount a leadership challenge.
In a scathing resignation letter to Sir Keir, he said he had lost confidence in the prime minister’s leadership and accused the PM of creating a vacuum where the country needed a vision.
But Sir Keir has vowed to fight on, Downing Street has said.
Work and pensions secretary Pat McFadden, one of Sir Keir's closest allies, said he was determined to stay on in No10 and had a “deep sense of duty to the country”.
Angela Rayner also did not rule out running in a Labour leadership race.