JEREMY Corbyn last night insisted he “will not betray” Labour Party members by resigning despite suffering humiliation as MPs voted for him to go.

Just 40 MPs stuck by their leader in a no confidence vote yesterday, with 172 voting against him. There were four spoiled ballots and 13 did not vote.

The result means fewer than 20 per cent of serving Labour MPs believe Corbyn is the right person to lead the official party of opposition, tackling the Tories as the UK prepares for a new Prime Minister and for Brexit negotiations.

But on the eve of the vote – called just nine months after Corbyn succeeded Ed Miliband on a wave of popular support - thousands of people attended a rally in support of the veteran politician and last night Corbyn said he has a mandate from the people.

In a defiant statement, he said: “In the aftermath of last week’s referendum, our country faces major challenges. Risks to the economy and living standards are growing. The public is divided.

“The Government is in disarray. Ministers have made it clear they have no exit plan, but are determined to make working people pay with a new round of cuts and tax rises.

“Labour has the responsibility to give a lead where the government will not. We need to bring people together, hold the government to account, oppose austerity and set out a path to exit that will protect jobs and incomes.

“To do that we need to stand together. Since I was elected leader of our party nine months ago, we have repeatedly defeated the government over its attacks on living standards.

“Last month, Labour became the largest party in the local elections. In Thursday’s referendum, a narrow majority voted to leave, but two thirds of Labour supporters backed our call for a remain vote.

“I was democratically elected leader of our party for a new kind of politics by 60 per cent of Labour members and supporters, and I will not betray them by resigning. Today’s vote by MPs has no constitutional legitimacy.

“We are a democratic party, with a clear constitution. Our people need Labour party members, trade unionists and MPs to unite behind my leadership at a critical time for our country.”

Corbyn faced calls to quit on

Monday in a meeting with the Parliamentary Labour Party following a series of shadow cabinet walk-outs.

Dame Margaret Hodge, who tabled the no confidence motion, said it had been an “extraordinary” meeting, adding: “I couldn’t believe the strength of feeling, the overwhelming rejection of Jeremy as our leader, and the pleading with him that he should consider his position and go with dignity.”

Yesterday bookies Betway named former shadow business secretary Angela Eagle as the favourite to replace Corbyn, with his deputy Tom Watson in second place.

However, any challenger would have to secure the signatures of 51 serving Labour MPs and MEPs to call a fresh leadership election – and Corbyn has already indicated that he would run again.

A Labour spokesman said: “The people who elect the leader of the Labour party are the members of the Labour party and Jeremy has made that crystal clear. He’s not going to concede to a corridor coup or backroom deal which tries to flush him out.”

But yesterday in a speech to the Centre for European Reform, Yvette Cooper, who lost out to Corbyn last time around, said she may stand again, claiming Corbyn “cannot even fill a shadow frontbench” let alone lead the party.

She said: “There is a political vacuum just when political leadership is needed most.”

However, Diane Abbott, one of Corbyn’s key allies, insisted the no confidence vote “has no meaning”.

Speaking on the Today programme, she said: “MPs don’t choose the leader of the Labour party, the party does.”

Last night Kezia Dugdale joined the debate, saying: “If I had lost the support of 80 per cent of my MSPs I could not do my job.”

Wes Streeting MP also described the vote as “unprecedented”, adding: “Jeremy just has to accept now that his leadership is untenable.”

Meanwhile, Alastair Campbell said the party was becoming a “sect” under Corbyn and questioned the value of the new members who voted him into office, saying: “Campaigning recently in the referendum, a lot of these new members, we did not see that many of them out there, delivering leaflets and knocking on doors.”

Last night rival petitions were running, with the #SavingLabour campaign asking the public to email MPs to press Corbyn to step down and Momentum asking the party to “unite as a source of national stability”.