Keir Starmer's shambles deepened today as a Cabinet minister confirmed the new Defence Secretary is demanding more cash.

Lisa Nandy admitted discussions are happening 'in real time' on how to increase the funding package offered to John Healey - which sparked his resignation last week.

His successor Dan Jarvis laid down a marker today saying he is determined to get the military 'what they need'.

And asked on the BBC this morning whether the Government was looking to 'find more money' for the Defence Investment Plan, Ms Nandy said: 'Yeah.' 

'These discussions are happening in real time. We have a new defence secretary... ' she added. 

Sir Keir has been desperately trying to shore up his position after it emerged a funding boost of just £10billion was being proposed for the DIP.

The blueprint has yet to be finalised after months of haggling over warnings from military chiefs that there is a £28billion hole in budgets over the next four years.

Mr Healey quit on Thursday - and was followed out of the door by his deputy Al Carns and two ministerial aides, all condemning the settlement. 

There was an agonising nine-hour wait before security minister Dan Jarvis was finally promoted to the key job.

And he hinted today that he has not accepted the funding package, and will be looking for more cash from the Treasury.

The chaotic episode has further loosened Sir Keir's grip on power, as he braces for Andy Burnham to mount a leadership challenge if he wins the Makerfield by-election on Thursday. 

Mr Jarvis told the Sunday Telegraph he had a 'big responsibility' towards soldiers who risk their lives for the country.

'The defence of our nation is a shared endeavour… I have a big responsibility in that regard now, but so do all of those people who expose themselves to risk tonight, tomorrow, next week, and we owe them a debt of gratitude,' he said.

'I have a responsibility now to them to make sure that they get what they need, and people should be very clear about my determination to fulfil those duties, to make sure that they do (get) precisely what they need.'

Ms Nandy told Sky News she did not believe Mr Jarvis 'would have taken the job were he not confident that we could meet the moment'.

'There's a clear picture emerging from this Government that we have moved resources from other departments in order to fund defence, that includes mine and it includes other departments as well, and we're continuing to do that.

'So defence remains the highest priority, and I don't agree that we're not committing the resources that we need. But when the threat level changes, when the global situation changes, we have to change our approach as well.'

Ms Nandy disagreed with Mr Healey's claim that Prime Minister Sir Keir Starmer failed to commit the resources the country needs to defend itself at a time of rising threats.

'I don't agree with him on that point, because these are discussions that are currently being had,' she said.

Mr Burnham said he would not be 'squeamish' about reducing the welfare bill to fund defence spending.

The Greater Manchester mayor said 'the world has changed' and it was 'obvious' the Government would have to adjust its assumptions about defence spending in response.

However, Mr Burnham appears to be taking a similar line to Sir Keir that welfare curbs should be achieved by getting people back to work, instead of active cuts. 

Tory leader Kemi Badenoch has written to potential Labour leadership rivals, calling on them to slash welfare spending and redirect the savings to defence.

Mrs Badenoch offered Sir Keir, as well as his possible successors, her party's support to get the necessary legislation through Parliament.

The PM is likely to face difficult questions about defence spending at the G7 when leaders meet in France tomorrow.

He spoke to Nato secretary general Mark Rutte about the DIP on Saturday morning.

A Downing Street spokeswoman said: 'The Nato secretary general welcomed the UK's increased investment in defence as an important contribution to the alliance and to meeting the threats we face.'