Brexit: Jeremy Corbyn and Theresa May hold 'constructive' talks

Theresa May calls in her cabinet to discuss what route if any can be found out of the Brexit deadlock

Mr Heaton-Harris' resignation means the Government's Brexit department have lost their minister and senior civil servant handling Britain's no deal preparations.

British prime minister Theresa May has gambled on talks with opposition leader Jeremy Corbyn to avoid a no-deal Brexit.

"And we need to be clear what such an extension is for: to ensure we leave in a timely and orderly way". Britain is a member of the WTO so tariffs and other terms governing its trade with the European Union would be set under WTO rules.

"The ideal outcome of this process would be to agree an approach. that both the leader of the opposition and I could put to the house for approval, and which I could then take to next week's European Council", May added, referring to an emergency EU summit in Brussels on 10 April.

Most politicians, economists and business groups think leaving the world's largest trading bloc without an agreement would be damaging for the European Union and disastrous for the U.K. It could lead to tariffs imposed on trade between Britain and the European Union, and customs checks that could cause gridlock at ports and shortages of essential goods.

May stated the meeting with Corbyn would be in the context of agreeing on the original Brexit document which would include the Northern Ireland backstop and result in an open border between Ireland north and south.

It is also unclear where May's last-ditch bid will leave her minority government. The currency had slipped below $1.30 on Friday on fears of a no-deal Brexit.

With Brexit stalled, parliament has been trying to come up with an alternative but has thus far failed.

A statement from the Stormont Party said the PM's handling of the negotiations has caused Parliament's rejection of the deal and failure to deliver a "sensible Brexit".

They warned: "A second referendum would be exploited by the far right, damage the trust of many core Labour voters and reduce our chances of winning a general election".

Former Foreign Secretary Boris Johnson, a leading Brexiteer, said Brexit "is becoming soft to the point of disintegration".

She listed a desire to protect jobs, to leave the EU with a deal and to end free movement as some of the areas of agreement, without ruling out remaining in a customs union with the EU - a key Labour demand that she has until now dismissed out of hand.

If not, it's expected that Members of Parliament (MPs) will vote on a range of options about what to do next.

It also would probably be welcomed by the European Union and would allow Britain an orderly departure in the coming months.

Under Parliament's rules, the speaker of the House has tie-breaking power.

The EU is frustrated with the impasse and has said it will only grant another postponement if Britain comes up with a whole new plan. It is likely to demand that the United Kingdom take part in European elections on 23 May.

"I'm very happy to meet the prime minister", Corbyn said in response to May's offer.

Investors and diplomats are in despair at the chaos and such is the volatility of Brexit news from London that some traders have stepped away from sterling - which has seesawed on Brexit news since the 2016 referendum.

"Crucially, the Government stands ready to abide by the decision of the house".

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