Downing Street is prepared to amend the legislation paving the way for an EU referendum to head off a rebellion by Eurosceptic Tory MPs who fear that ministers are planning a burst of government spending in favour of a pro-EU vote.
Amid warnings that the government is heading for its first defeat since the election, ministers are prepared to make clear that glossy publications paid from public funds will not be despatched to households in the final phase of the campaign.
The move has been signalled as Eurosceptics express confidence that they will be able to defeat David Cameron over government plans to suspend a rule, which was in the place during the Scottish independence and AV referendums, banning the government from campaigning on either side in the final 28 days of a referendum campaign.
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