Osborne and Balls clash in Commons over Libor scandal

The chancellor and his Labour shadow minister have clashed in the Commons, after Mr Osborne said ministers in Gordon Brown's government had "questions to answer" over the Libor scandal at Barclays.

In a heated parliamentary debate Mr Balls repeatedly demanded an apology from the chancellor over the comments made in an interview with the Spectator.

Mr Osborne's aides later told the BBC's Nick Robinson they accept that Mr Balls had not intervened in the affair.