Labour MPs have said the Northern Powerhouse project has "all but been cancelled", with the Government's attention now focussed on the Midlands Engine.
Greater Manchester MPs Andy Burnham and Lucy Powell have demanded fresh focus on the Northern Powerhouse project, which Theresa May is reportedly less keen on than her predecessors at the helm of Government.
Ministers branded the claims "complete and utter nonsense" and said the Government was "as committed as ever" to the Northern Powerhouse, which aims to boost economic growth across the region.
Speaking during questions to the Communities and Local Government Secretary, Mr Burnham, Labour's candidate to be mayor of Greater Manchester, said:
Mr Osborne was widely credited with leading the Northern Powerhouse project in Government.
The former chancellor previously said Mrs May had "a little bit of a wobble" over the project after becoming Prime Minister.
Responding to Mr Burnham, Communities Secretary Sajid Javid said:
But Ms Powell (Manchester Central) continued the pressure on the Government later in the debate.
She told MPs:
In response, Northern Powerhouse Minister Andrew Percy, said:
Mr Osborne has set up a new think tank to drive the Northern Powerhouse forward, while former Treasury minister Lord O'Neill - another key architect of the project - last month quit his Government post.