Peter Hain steps down as police are called in to investigate legality of campaign donations

Work and pensions secretary Peter Hain has resigned after his deputy leader campaign donations were referred to the Met Police.

Hain quit his job minutes after the Electoral Commission decided it would refer the late declaration of £103,000 of donations to the police.

Hain said he had stood down so he could "clear my name". He has previously blamed poor administration for failing to declare the cash.

His department has been at the forefront of shaking up the benefit system, introducing new pension measures for workers and increasing employment.

No announcement has yet been made on Hain's replacement. Candidates who could replace him include employment minister Caroline Flint and pensions minister Mike O'Brien.