A Dorset MP has said it is time to ‘ease up’ on austerity.

Sir Oliver Letwin, who represents the West Dorset constituency, acknowledged there was a case for "easing up" on austerity but warned a "large number" of people may be required to contribute more in tax to pay for any increase in public spending.

While the better-off would "bear a larger share of the cost", tax rises could not be limited only to the very rich, he said.

Sir Oliver told BBC Radio 4's Today programme: "It may well be that, in one way or another, a large number of people will have to pay a little more tax if we are going to maintain the trend towards reduced deficits and yet spend a bit more on the crucial public services that do need more

It comes as Downing Street has signalled that it is ready to review the one per cent cap on public sector pay rises.

A senior Number 10 source said Prime Minister Theresa May had "heard the message" from the General Election that voters were "weary" of austerity.

Union leaders have said Mr Letwin’s comments are ‘too little, too late’.

UNISON South West regional secretary Joanne Kaye said: “Any support is welcome for hard-pressed public service workers, but Mr Letwin’s admission that his Government has got it wrong for seven years is too little too late.

"People can see the results of his record of voting for under-investment in public services: longer waiting lists, bigger school classes, and less safe communities.

“If Mr Letwin is serious about backing our vital public services then he ought to get behind UNISON’s campaign to end the public sector pay cap. Warm words don’t make up for squeezed wages nor run down services.”