South Thanet MP Craig Mackinlay has backed the government's contract with Seaborne Freight after being assured by the Transport Secretary that the firm will not be handed the money unless they deliver the ferry service.

The company - which owns no ships and has never run a sailing - has controversially been handed a contract worth £13.8m to put on crossings from Ramsgate to Ostend in the even of a no-deal Brexit on March 29.

Today, Transport Secretary Chris Grayling said there would be no taxpayer cash for the firm until they provide the service.

Mr Mackinlay sought reassurances from the Secretary of State during an urgent question on Seaborne Freight tabled by Labour’s Shadow Transport Secretary, Andy McDonald MP, during which MPs questioned the government about the £13.8m contract.

He said: "If the government were to do no planning for Brexit eventualities, they would be condemned and now they are actually doing sensible planning, they now face derision.

"I’ve met with Seaborne Freight - they’ve shown themselves to be the only interested party over a number of years in running new services between Ramsgate and Ostend and that was even before this contingency planning.

"There are people in this House who don’t seem to be listening.

"Could my Right Honourable Friend (Chris Grayling) say once more that if (Seaborne Freight) do not run the services that they suggest, there will be no cash for them?"

In response, Mr Grayling reiterated that the government will not pay Seaborne unless and until they provide the ferry service agreed in the £13.8m contract.

He added: "It’s disappointing to hear the Labour Party so opposed to the regeneration of the Port of Ramsgate.

"It’s not so very long ago that the Labour Party represented Ramsgate in Parliament.

"They do not deserve, given this negative attitude, ever do so again."

Since confirming the contract, Mr Grayling has come under fire but has since defended the decision, saying: "I make no apologies for supporting a new British business."

Speaking on the Today Programme, he said: "The reality is, it's a tightly drawn up contract that requires them to deliver, but I don't think there is anything wrong with government supporting small business.

"It's a new start up business. Government supporting new British business - there's nothing wrong with that."

Dredging started at the port last Thurday.

Meanwhile, Seaborne has been accused on copying its terms and conditions from a takeaway business after phrases - now removed - such as "placing an order" and "delivery driver" were spotted on it website.

The European Commission is being urged to investigate the UK government over the award of a contract to Seaborne Freight.

The Scottish MEP Alyn Smith has requested an inquiry into the procurement process which led to the firm being handed the deal to provide emergency ferry services.

The government has insisted it followed standard procedures when it awarded the contract and carried out due diligence checks.

Speaking after his question to Mr Grayling in the Commons, Mr Mackinlay said: "I welcome the dredging and improvements now taking shape at the port of Ramsgate at no cost to local taxpayers.

"The Transport Secretary has been absolutely clear: if there is no service there will be no money.

"In the meantime our port will be upgraded and the sea approaches, always subject to extreme silting, will be dredged at somebody else’s expense.

"This is a regeneration bonus for Ramsgate."