The EU's chief Brexit negotiator will continue talks in Downing Street with UK counterpart David Frost today as the two sides desperately search for ways to compromise on a post-Brexit trade deal before the transitional period deadline of December 31. The meetings between London and Brussels has so far been dominated by a vicious blame game on a lack of progress being made, but the EU has hinted it is ready to cave on fishing and accept plans that to provide UK boats with a far greater share of catches. Documents released on Tuesday revealed Mr Barnier told a House of Lords committee: “Is this balanced agreement the British position as it is? Certainly not.
“Is it the European position as it is today? Clearly not. We have two entirely contradictory positions.
“If we both dig our heels in on those positions, there will be no discussion or agreement on fisheries and therefore no agreement on trade. That is not what we want.”
But coincidentally, the Frenchman was served halibut during three-course meal at Downing Street with Mr Frost just hours later - a cheeky message from No10's chef. The negotiating pair also enjoyed a grilled asparagus starter and summer fruits terrine for pudding.
This came as Boris Johnson warned Angela Merkel in a telephone call the UK “would be ready” to leave the transition period at the end of the year without an EU trade deal if one cannot be agreed in time.
A Downing Street spokeswoman said: “On the future relationship, the Prime Minister underlined the UK’s commitment to working hard to find an early agreement out of the intensified talks process.
“He also noted that the UK equally would be ready to leave the transition period on Australia terms if an agreement could not in the end be reached.”
Australia currently does not have a comprehensive trade agreement with the EU, and much of the business between the two sides follow default World Trade Organisation rules, although specific agreements are in place for select goods.
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10am update: Pound holds onto three-week highs as markets focus on fresh Brexit talks
Sterling has remained steady at $1.2545 against the US dollar and 89.96 pence versus the euro - a day after hitting three-week highs against both currencies - as markets keep an eye on renewed Brexit talks.
UK and EU negotiators are meeting in London this week, after last week's talks in Brussels were cut short with huge divisions remaining between the two sides.
Prime Minister Boris Johnson has warned German Chancellor Angela Merkel the UK is prepared to leave without a deal if one cannot be agreed before the end of the transition period on December 31.
9.24am update: UK could nominate Brexiteer and former minister Liam Fox as WTO boss
Britain will nominate Liam Fox to be the new chief of the World Trade Organisation, the political editor of the Spectator has claimed.
James Forsyth tweeted: "Understand the UK will nominate Liam Fox to be Director General of the World Trade Organization."
Mr Fox was a supporter of Brexit and served as Britain's Trade Secretary in the Government under the leadership of former Prime Minister Theresa May.
9.05am update: Boris Johnson's EU trade talk tactic to pay off as Brussels bloc to cave
Brexit is more likely to result in a trade deal due to Boris Johnson insisting that he will not ask for an extension, Lord Norman Lamont has claimed.
Negotiations have been difficult between the UK and EU after discussions between both sides on a trade deal broke up early last week with "significant differences" remaining.
But Lord Lamont is sure the EU will offer Britain a trade deal - as it is convinced there will be no more delays.
He explained the tactic has increased the bloc's willingness to reach a deal.
8.44am update: Brexit showdown - Sturgeon threatens to reject Boris Johnson's new law in EU showdown
Westminster and Holyrood are on track for the biggest constitutional showdown since the EU referendum as Nicola Sturgeon’s government have threatened to block a major post-Brexit law.
First Minister Nicola Sturgeon and her Scottish National Party are prepared to stand in the way of a law which would give the UK Government the power to set food and environmental standards following the nation’s exit from the bloc.
Michael Russell, SNP cabinet secretary for constitutional affairs, told the Financial Times the SNP would take Westminster to court if it was given the power to force Scotland to accept new standards on food, environmental and animal welfare.
Mr Russell said: “We do not accept that this is a legitimate way of operating within devolution.
“If they pass legislation then we will have no intention of implementing that and they would have to essentially go to court to force its implementation.”
8.25am update: Boris Johnson makes no deal threat to Angela Merkel
The Prime Minister told the German Chancellor in a telephone call the UK is prepared to leave the EU on the same terms as Australia has with the bloc if it cannot agree on a future trade deal.
A Downing Street spokeswoman said: "On the future relationship, the prime minister underlined the UK's commitment to working hard to find an early agreement out of the intensified talks process," a Downing Street spokeswoman said.
"He also noted that the UK equally would be ready to leave the transition period on Australia terms if an agreement could not in the end be reached."
Australia currently does not have a comprehensive trade agreement with the EU, and much of the business between the two sides follow default World Trade Organisation rules, although specific agreements are in place for select goods.
8.15am update: Fish on the menu at Downing Street dinner as Barnier hints at major concession
The EU's chief Brexit negotiator and UK counterpart David Frost had a private dinner in Downing Street on Tuesday evening, where fish was on the menu.
The pair kicked off the latest round of trade talks by dining on chargrilled asparagus, followed by a fillet of halibut and then a terrine of summer fruits at Number 10.
Hours earlier, the EU hinted it is ready to cave on fishing and accept plans that to provide UK boats with a far greater share of catches.
Documents released on Tuesday revealed Mr Barnier told a House of Lords committee: “Is this balanced agreement the British position as it is? Certainly not.
“Is it the European position as it is today? Clearly not. We have two entirely contradictory positions.
“If we both dig our heels in on those positions, there will be no discussion or agreement on fisheries and therefore no agreement on trade. That is not what we want.”
8am update: Barnier says EU wants deal 'but not at any price'
The EU is continuing to stand firm in Brexit talks, with Michel Barnier sending a warning to the EU on his way to London for further talks on Tuesday.
Brussels' chief negotiator posting a picture of himself and his team travelling on a train to the capital, with the caption: "The EU wants an agreement - and we are doing everything to succeed - but not at any price."
The EU is insisting there can be no new economic partnership without robust guarantees to ensure fair competition.
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2020-07-08 06:50:00Z
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