Prior to the confrontation, Tess had been hiding while the host spoke to Luke.
"You've got too many hands on deck... How are you affording that, mate?" Scott asked Luke, who said they needed as much help as possible in order to finish.
However, Scott was adamant that the couple had overspent by $25,000.
"You're running out of money! You've only got $23,000 left," the 56-year-old said.
Despite Luke saying they were yet to pay the $20,000 plastering bill, Scott didn't feel that the 30-year-old fully comprehended the seriousness of the situation.
"You're not listening," an exasperated Scott said.
Later, Luke vented his frustrations in a piece to camera.
"We've been down here busting our a***. We're giving it our very best shot, and basically, they just come and say that it's not good enough," he said.
Scott eventually confronted Tess in an ambush when she was leaving the worksite.
"Look, I'm just trying to help. I just want you to finish and I'm trying to help you, and it's almost like flogging a dead horse," Scott said.
Tess stormed off and called her partner to tell him she wanted to leave the competition.
"I'm ready to go. I want to leave, I want to go. I just think I'm done," she said through tears.
Sadly, Tess told a producer that competing on The Block was "literally destroying us."
"Luke and I hate each other. We don't stop fighting. What this is doing to us is not good," she confessed.
"We're newlyweds, and we're having the worst time of our life."
However, Tess later said Luke had convinced her to stay on, and she was "'glad he did."
Luke also confirmed that he would remain on the show with Tess.
"We'll leave when the money runs out. If the money runs out. We didn't come down here to quit," he said.
However, the couple told News.com.au today that the show is all a lie and that The Block is so "full of sh*" that they no longer watch it for their own mental health.
"We didn’t watch last night. We’re getting sick of how they’re editing us as being these big lazy pr**ks who don’t get off their a**e and do a single thing. For some reason they’re just not showing us doing any of the work. We’re just getting painted as these lazy people and we’re bloody sick of it," Luke told the publication.
"We’re really disappointed. Even the other contestants have contacted us to say, ‘That didn’t happen, that was taken out of context’," he continued.
"We’re pretty upset with how we’ve been painted — it’s all a lie," Tess added.
The 28-year-old claims they stayed filming even when she told a producer that her mental health was suffering.
"I walked off because I couldn’t handle it. I did say, ‘You guys need to stop filming me because I’m not coping right now for mental health reasons’ — and they didn’t stop filming."
What's more, the couple claims the producers tried to pit them against each other.
"During the show, producers would talk to Luke, then talk to me, trying to pit us against each other. It was pretty horrible," Tess said.
The Block airs 7 pm Sunday and 7.30 pm Monday to Wednesday on Nine.