LABOUR lurched a step closer to a leadership contest today as Wes Streeting finally resigned from the Cabinet and an MP quit to make way for the return of Andy Burnham.

Streeting slammed Sir Keir’s lack of vision and leadership, called out a number of his missteps and largely blamed him for last week’s disastrous election results for Labour across the country.

However, the outgoing Health Secretary stopped short of an immediate challenge to the premier, most likely because he presently lacks the support of the 81 Labour MPs required.

But Josh Simons announced he will step down as MP for Makerfield to allow Mayor of Greater Manchester Aburnham’s return to Parliament and challenge for the leadershhip.

In his resignation letter, Mr Simons said he wants Mr Burnham to “drive the change our country is crying out for”.

The moves will increase pressure on the Prime Minister to quit, as several Cabinet members are privately urging and nearly 100 MPs publicly demanding.

Mr Streeting’s move, after days of hesitation, came as likely rival for No 10, former deputy premier Angela Rayner, also called on Sir Keir to consider his position.

There is little sign the PM is doing so, as yet. Downing Street claimed again today that he would fight on even as his credibility bleeds away.

Ms Rayner’s fortunes received a boost after the tax authorities cleared her of any wrongdoing over her inadvertent underpayment of stamp duty on a flat in Hove.

In his resignation letter, Mr Streeting claimed he wanted the party to have the widest possible choice in any contest, which would imply delaying until Mr Burnham has been given a chance to return to the Commons.

He told Sir Keir: “It is now clear that you will not lead the Labour Party into the next general election and that Labour MPs and Labour unions want the debate about what comes next to be a battle of ideas, not of personalities or petty factionalism.

“It needs to be broad, and it needs to be the best possible field of candidates. I support that approach and I hope you will facilitate it,” he wrote, echoing the approach taken by Labour’s affiliated unions earlier this week.

Since Mr Burnham would certainly beat Mr Streeting in any head-to-head contest, it shows that the leading Blairite has boxed himself in with his tactics over the last week.

After his undisguised ambition had taken him to the brink he found he could no longer advance for want of backing — although that is disputed by his supporters — nor quietly withdraw without sinking his credibility entirely.

He seems now to be angling for a top post in a Burnham-led Cabinet instead.

Polling for Labour List shows Mr Streeting losing heavily against any of the possible challengers to his left — Mr Burnham, Ms Rayner or Ed Miliband — in a leadership contest.

The same survey also shows any of the three could also beat Sir Keir in a straight fight, although more narrowly in the case of Ms Rayner and Mr Miliband, should the hapless PM take his case to the party membership.

And 57 per cent of Labour members want a change of leader, as per the poll.

Ms Rayner made it clear she would not initiate any challenge to Sir Keir. She would also prefer to back Mr Burnham were he available, but would stand if the “soft left” had no other candidate to put up against Mr Streeting.

Asked by the Guardian whether Sir Keir should quit, she said: “Keir will have to reflect on that.”

In his resignation letter, Mr Streeting criticised “individual mistakes on policy like the decision to cut the winter fuel allowance to the ‘island of strangers’ speech, all of which have left the country not knowing who we are or what we really stand for.”

He slammed Sir Keir’s leadership style: “Where we need vision, we have a vacuum. Where we need direction, we have drift. This was underscored by your speech on Monday.”

Warning of the threat posed by Reform UK, Mr Streeting said: “Progressives across our country are increasingly losing faith that the Labour Party is capable of rising to our historic responsibility of defeating racism and offering hope that Britain’s best days lie ahead through social democracy.”

If Labour’s left is uncertain as to the way forward, the party’s right is now divided and in despair. Much of it has continued to cling to Sir Keir through the conviction that any successor will be more to the left, weakening their grip on the party.

Hard-right factionalist Luke Akehurst MP spelt out their fears to the Times: “The risk of initiating this process is the outcome isn’t Wes Streeting becoming PM. It’s a candidate from the left of the party and six years of hard work will be destroyed.”