‘Deal would trap us in customs

to unite and support the best deal that can be negotiated: This deal.”

But MPs believed that a dozen junior ministers and ministerial aides are ready to quit, raising the spectre of a morale-sapping series of orchestrated walkouts of the type last seen in 2006 when supporters of Gordon Brown forced Tony Blair to pre-announce his retirement.

There was no sign in the Commons of Mr Gove or Treasury Chief Secretary Liz Truss during Mrs May’s statement, fuelling speculation over his position. One former minister said: “The revolution is eating its children.”

The Brexodus from the government benches raised serious doubts about whether the Prime Minister can deliver the deal she forced through a reluctant Cabinet last night. By mid-morning the pound was down 1.4 per cent against the euro and 1.5 per cent against the dollar.

As knives were being sharpened on the Tory backbenches, with open calls for a leadership challenge, Mrs May came under stinging attack from one Tory MP. Brexiteer MP Marcus Fysh tweeted: “I cannot see how a Prime Minister presiding over and pursuing this abject surrender and the worst terms for such in British parliamentary history can with honour remain in post.” Tory MP Anne Marie Morris, a controversial Right-winger, claimed the 48 letters required to force a confidence vote in Mrs May had already been sent to 1922 Committee chairman Sir Graham Brady. This was not confirmed.

The dramatic departure of Esher MP Mr Raab — a rising star on the Right who was brought in to keep Tory Brexiteers on board — was the biggest blow to Mrs May.

In a resignation letter, he said it was “a matter of trust” and said the deal failed to honour the Government’s manifesto promises to the people.

It emerged that he refused to fly over to Brussels after Cabinet last night to seal the agreement,

Mr Raab replaced David Davis who resigned over the Chequers proposals in July. Labour MP Jon Trickett said the Government was “falling apart before our eyes”.

Remain-supporting Tory MP Anna Soubry said his resignation “marks the end of PMs Withdrawal Agreement” and possibly her premiership.

Mr Vara attacked the deal for leaving “the UK in a halfway house with no time limit on when we will finally be a sovereign nation”.

The North-West Cambridgeshire MP and lawyer, who is seen as a centrist Tory, said: “We are a proud nation and it is a say day when we are reduced to obeying rules made by other countries who have shown that they do not have our best interests at heart.” In her resignation letter, Ms McVey set out a series of criticisms of Mrs May.

The Tatton MP wrote: “The d e a l yo u p u t b e fo re the Cabinet yesterday does not honour the result of the referendum.

“Indeed, it doesn’t meet the tests you set from the outset of your premiership ... It will trap us in a customs union, despite you specifically promising the British people we would not be.

“It also threatens the integrity of the United Kingdom, which as a Unionist is a risk I cannot be party to.

“The British people have always been ahead of politicians on this issue, and it will be no good trying to pretend to them that this deal honours the result of the referendum when it is obvious to everyone that it doesn’t.”

She concluded: “In politics, you have to be true to the public and also true to yourself.

“Had I stayed in the Government and supported this deal with the EU, I wouldn’t be doing that.”

Experts said the pound’s turmoil was linked to doubts about Mrs May’s ability to govern.

James Hughes, chief market analyst at Axi Trader, said: “It seems sterling is

It will be no good trying to pretend to the British people that this deal honours the result of the referendum

now a barometer of the PM’s ability to hold onto her job.”

David Cheetham, chief market analyst at online trading group XTB, said the currency reaction was “reminiscent of the Chequers deal in the summer where initial support from the Cabinet has proved short-lived for Theresa May”.

In t h e C o mmo n s , Mrs May wa s laughed at for saying her deal would ensure a “smooth and orderly” departure from the EU.

She ignored hecklers and calmly stated her case that nobody could get a better deal in terms of both protecting jobs and quitting the EU.

“It takes back control of our borders, laws and money. It protects jobs, secu-