THE government has been accused of “muzzling its own watchdog” after ministers refused to sanction former chancellor Phillip Hammond for breaking lobbying rules.

Labour’s deputy leader Angela Rayner has said PM Boris Johnson’s government was failing to tackle corruption or follow its own rules after it emerged Mr Hammond had been lobbying Treasury officials on behalf of a bank.

Lord Hammond, who holds a directorship of OakNorth bank alongside a seat in the Lords, led the advisory committee on business appointments, which enforces rules meant to prevent former ministers using knowledge and contacts for commercial gain.