The UK Independence Party is expecting a “wave of resignations” following the revelation that its new leader offered to stand down candidates at the next election and disband the party if the Conservatives agreed to hold a referendum on EU membership.

Lord Pearson of Rannoch, the new leader, was reported in the Times on Saturday that he proposed a deal to the Tory leader in the Lords in which UKIP would have given up its plans to stand at the general election.

Gerard Batten, an MEP for London, who was the runner up in the leadership election, said he was appalled by the secret plan and argued that members would not have chosen Lord Pearson if they had known about it during the contest.

Mr Batten said:

“I am appalled they can offer to sell the party down the river to the Tories. It is a betrayal of the members, and we will probably see a wave of resignations over this.

“If he had run in the leadership election telling people that is what he had done, he would have come bottom. The membership do not want it and it has caused outrage.

“I have been saying all along we have not just got to talk to the Tory voters but also the Labour voters who are not going to vote Labour any more. This makes it much more difficult.

“Having a lord as leader of the party who is trying to do deals with the Tories is going to make it that much harder to win the disenchanted working-class votes.”

Nikki Sinclaire, an MEP for the West Midlands, who came third, said that she was being called by outraged members threatening to resign, but blamed Mr Farage for asking Lord Pearson to make the approach to Lord Strathclyde.

M/s Sinclaire said:

“I do not see what legitimacy Nigel had to make such a deal. A lot of members feel very cheated judging by the amount of phone calls I have received. Ultimately the members should have been consulted to have negotiations with any party. It should have gone to a referendum among the membership. People have contacted me talking about resigning.”