A Labour source told the BBC Mr Corbyn had "lost confidence" in Mr Benn.
Mr Benn said there was "widespread concern" about Mr Corbyn`s "leadership and his ability to win an election".
He added: "There is no confidence to win the next election if Jeremy continues as leader.
"In a phone call to Jeremy I told him I had lost confidence in his ability to lead the party and he dismissed me."
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