OWEN Smith will challenge Jeremy Corbyn to become leader of the UK Labour party in a head-to-head race following a decision by rival candidate Angela Eagle to withdraw.

The former shadow business secretary was the first to mount a public challenge to the Labour leader, and will now back Smith.

She pulled out late yesterday – ahead of the official close of the process today – after attracting 72 nominations from MPs and MEPs, 18 below Smith’s 90.

After a significant win in last year’s contest Corbyn continues to retain high levels of support among the grassroots, prompting both pro and anti-Corbyn camps to try and sign up large numbers of registered supporters eligible to vote in time for today’s deadline.

A YouGov poll published by The Times yesterday found 54 per cent of Labour members say Corbyn would be their first preference, compared with 21 per cent who back Eagle and 15 per cent who support Smith.

Speaking at Westminster last night, Eagle said she and Smith “are in lock-step together, arguing for a united Labour Party.”

She added: “We have a Labour Party at the moment that is not working, we’ve got a leader that doesn’t have the confidence of his Members of Parliament.

“We need to have a strong and united Labour Party so we can be a good opposition, take the fight to the Conservative Government and heal our country.

“So I am announcing tonight that I will be supporting Owen in that endeavour with all my enthusiasm and might.”

Smith, the former shadow work and pensions secretary, obtained nominations from 88 Labour MPs and two MEPs to become a leadership candidate, easily clearing the 51 hurdle to get his name onto the ballot paper. Among his nominators is former party leader Ed Miliband.

Corbyn was not required to secure nominations to take part in the contest, following a ruling by the party’s National Executive Committee.

Eagle said that while there had been “quite a narrow gap” in support among Labour MPs for her and Smith, she had concluded it was in the best interests of the party that she dropped out.

Nominations for the Labour leadership race officially remain open until 5pm today, and Eagle is thought to have been on track to end up around 10 short of Smith’s tally by the end of the process.

Smith said Eagle’s decision to stand aside would allow divisions within the party to be healed as he made clear she would be given a key role in his top team.

“She is a great Labour woman and I absolutely cannot do without her in what will be a very difficult few months,” he told the BBC.

“Angela is a star in the Labour firmament and she will be at my right hand throughout this contest and if I am successful thereafter Angela will be alongside me as my right-hand woman.”

He also sought to reach out to Corbyn’s supporters in the party, insisting that he could also be their champion.

“I am just as radical as Jeremy Corbyn,” he said.

“I think Jeremy is owed a debt of gratitude for helping Labour rediscover its radical roots, but we do need a new generation of Labour men and women to take this party forward, to get us ready for government once more.”

All three candidates in the leadership race appeared before colleagues in a hustings in the Commons on Monday afternoon.

A ballot of party members and supporters ends on September 24 and the winner will be announced soon after.