Steve Reed has denied that Keir Starmer’s trip to China was dependent on approval for its new London super embassy, describing the charge as "scaremongering".
Speaking to GB News, the Housing Secretary assured viewers that national security is "paramount" despite fears of the base becoming a "spy super hub".
Following the approval of the embassy, reports emerged this morning that Chinese state-sponsored hackers "infiltrated the phones of senior Downing Street officials" over several years.
The espionage campaign is believed to have compromised close advisers to three successive prime ministers between 2021 and 2024, the Telegraph reports.
One source familiar with the breach said it reached “right into the heart of Downing Street”.
Quizzed by host Ellie Costello on whether Sir Keir's trip to Beijing was "determined by Labour giving the green light to the controversial embassy in London", Mr Reed disagreed: "Not at all. In fact, the UK is looking to build a new UK Embassy in Beijing.
"If you have relations with a foreign country, then we have an embassy in their capital. They have an embassy in our capital."
Housing Secretary Steve Reed has dismissed concerns for the new Chinese super embassy as 'scaremongering'
|GB NEWS
He added: "Now, I think it's scaremongering, to be honest, about the Chinese Embassy in London. Of course, we need to be alive to the security risks, that's why we have security services.
"But they have made very, very clear it is better to have the Chinese Embassy in one location than seven different locations, which is how it is currently."
Pressed again on whether the Prime Minister was "prioritising a possible trade deal over national security", he said: "Absolutely not. We are very alive to the security risks of China and the Chinese, and that's why the Government's invested an extra £170million in cyber security.
"So that we can protect British businesses and British Government from any attempt to eavesdrop by the Chinese.
"The security services expressed no unreasonable concerns about relocating the Chinese in one embassy.
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Keir Starmer has been accused of 'putting trade above national security' after approving the super embassy
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"In fact, they think it's better than seven different sites, and I think that piece of information doesn't get across often enough."
He argued: "You can understand that because you have to monitor seven different places, that's a lot more effort by the security services than knowing that they're in one place.
"Now, having said that, always eyes wide open when it comes to national security, but China's also the second biggest economy on the planet, 370,000 British jobs depend on it.
"We're not going to throw those people on the scrapheap and tell them they can't have a job anymore."
Assuring the security of the nation is "paramount", Mr Reed stated: "We have to trade with China, but we do it eyes wide open. National security is always paramount, as it should be."
Mr Reed told GB News that national security is 'paramount'
|GB NEWS
Asked for his verdict on Andy Burnham being blocked from standing to become an MP, Mr Reed said: "I speak to Andy very, very regularly. I was up there with him only a couple of weeks ago.
"I know firsthand that Andy Burnham is doing an outstanding job as the mayor of Greater Manchester, but in the Labour Party's rule book, because a mayor is standing down, whether it's in Manchester or anywhere else, to fight a parliamentary by-election would trigger a by-election for the mayoralty."
He concluded: "That, in Manchester's case, is the equivalent of 20 constituencies. Now, people voted for Andy in Greater Manchester two years ago to serve a four-year term, he has to seek permission to change his mind and stand for Parliament.
"On this occasion, the NEC decided it was in the best interest of the public in Greater Manchester that he continues to serve his term, and we select a different candidate."