Prime Minister Theresa May will meet EU leader Donald Tusk on Sunday ahead of a summit with Arab leaders, officials said, but should not expect a Brexit breakthrough.

The British leader will sit down with Tusk, president of the European Council, in the Egyptian resort of Sharm el-Sheikh ahead of the European Union talks with the Arab League.

Tusk represents the governments of EU member states and holds the key to any progress in May's effort to lobby Brussels to renegotiate the terms of Britain's departure from the bloc.

He did not meet May when she was in Brussels earlier the week for talks with EU Commission president Jean-Claude Juncker, and officials here do not expect a breakthrough when he sees her at 4:30 pm on Sunday. &nbsp;&nbsp;

"There will be no deal in the desert in Sharm el-Sheikh, this is a summit between the EU and the Arab states," an EU source told reporters in Brussels.

Another official said: "It's an opportunity where everyone can talk, but don't expect a deal there."

Only 24 of the 28 EU leaders have confirmed they will attend the Red Sea summit, and all would have to be present to agree on any new or modified Brexit deal.

Nevertheless, May is expected to meet some of her counterparts one-on-one on the sidelines of the meeting to push her case for changes to the divorce agreement.

This could pave the way towards a later breakthrough, perhaps at the next planned full EU summit on March 21 and 22, just a week before Britain leaves the bloc.

'We don't need extra time'

On Friday, EU negotiator Michel Barnier told France's Europe 1 radio it was time for May to take a decision and present a Brexit plan to her parliament. &nbsp;&nbsp;

"We don't need extra time, what we need now is a decision and for everyone to take responsibility," he said.

He did not exclude granting Britain more negotiating time, but said it was now up to the British "to take their responsibilities and assume the consequences of decisions they took democratically".

Brussels, however, is open to adopting a more ambitious political declaration, alongside the legally binding withdrawal treaty that would set a roadmap for negotiating close EU-UK trade ties.

The British government said Thursday that Brexit talks will focus on securing new guarantees to reassure lawmakers, rather than on demanding that a divorce deal already concluded with the EU be reopened.

EU leaders insist on the withdrawal agreement, which they struck with Britain last year, cannot be renegotiated to appease British MPs who rejected it in parliament.

Brussels, however, is open to adopting a more ambitious political declaration, alongside the legally binding withdrawal treaty that would set a roadmap for negotiating close EU-UK trade ties.

May's official position remains that the "simplest" way to agree to a deal that would pass the British parliament would be to negotiate changes to the agreement.

But EU officials noted that Thursday's British statement "acknowledged" that Brussels has said this will be impossible.

"Officially she has not dropped her demand, but in practice, she has realised that she should put her energy on another text," one European official said. &nbsp;&nbsp;

Prime Minister Theresa May will meet EU leader Donald Tusk on Sunday ahead of a summit with Arab leaders, officials said, but should not expect a Brexit breakthrough.

Prime Minister Theresa May will meet EU leader Donald Tusk on Sunday ahead of a summit with Arab leaders, officials said, but should not expect a Brexit breakthrough. The British leader will sit down with Tusk, president of the European Council, in the Egyptian resort of Sharm el-Sheikh ahead of the European Union talks with the Arab League. Tusk represents the governments of EU member states and holds the key to any progress in May's effort to lobby Brussels to renegotiate the terms of Britain's departure from the bloc. He did not meet May when she was in Brussels earlier the week for talks with EU Commission president Jean-Claude Juncker, and officials here do not expect a breakthrough when he sees her at 4:30 pm on Sunday. "There will be no deal in the desert in Sharm el-Sheikh, this is a summit between the EU and the Arab states," an EU source told reporters in Brussels. Another official said: "It's an opportunity where everyone can talk, but don't expect a deal there." Only 24 of the 28 EU leaders have confirmed they will attend the Red Sea summit, and all would have to be present to agree on any new or modified Brexit deal. Nevertheless, May is expected to meet some of her counterparts one-on-one on the sidelines of the meeting to push her case for changes to the divorce agreement. This could pave the way towards a later breakthrough, perhaps at the next planned full EU summit on March 21 and 22, just a week before Britain leaves the bloc. 'We don't need extra time' On Friday, EU negotiator Michel Barnier told France's Europe 1 radio it was time for May to take a decision and present a Brexit plan to her parliament. "We don't need extra time, what we need now is a decision and for everyone to take responsibility," he said. He did not exclude granting Britain more negotiating time, but said it was now up to the British "to take their responsibilities and assume the consequences of decisions they took democratically". Brussels, however, is open to adopting a more ambitious political declaration, alongside the legally binding withdrawal treaty that would set a roadmap for negotiating close EU-UK trade ties. The British government said Thursday that Brexit talks will focus on securing new guarantees to reassure lawmakers, rather than on demanding that a divorce deal already concluded with the EU be reopened. EU leaders insist on the withdrawal agreement, which they struck with Britain last year, cannot be renegotiated to appease British MPs who rejected it in parliament. Brussels, however, is open to adopting a more ambitious political declaration, alongside the legally binding withdrawal treaty that would set a roadmap for negotiating close EU-UK trade ties. May's official position remains that the "simplest" way to agree to a deal that would pass the British parliament would be to negotiate changes to the agreement. But EU officials noted that Thursday's British statement "acknowledged" that Brussels has said this will be impossible. "Officially she has not dropped her demand, but in practice, she has realised that she should put her energy on another text," one European official said.

UK PM Theresa May to meet Tusk, but no Brexit 'deal in the desert'

Britain's finance minister Philip Hammond said Thursday there had been "some movement" by the European Union that could lead to a breakthrough in Brexit talks in "the next few days".

Hammond said progress in the ongoing negotiations could result in a fresh vote next week on prime minister <a href="http://www.wionews.com/world/three-uk-conservatives-quit-party-in-protest-over-disastrous-brexit-198557">Theresa May's EU divorce deal</a>, which was rejected by lawmakers last month.

"There may be an opportunity to bring a vote back to the House of Commons," he told the BBC.&nbsp;

"But that will depend on the progress that's made over the next few days. These discussions are ongoing."

May and the other 27 EU leaders approved a Brexit withdrawal agreement at a summit on November 25 last year, but the British parliament voted against it overwhelmingly on January 15.

Since then, she and her ministers have repeatedly urged EU leaders and their negotiator, Michel Barnier, to revise a "backstop" clause in the text on the Irish border that is hated by eurosceptic MPs.

EU chiefs have insisted they will not reopen the legally-enforceable withdrawal deal but could add to an accompanying political declaration which sets out aspirations for the future relationship.

May met with European Commission president Jean-Claude Juncker on Wednesday hoping for movement on the contentious backstop, as fears grow Britain could crash out of the bloc without a deal on March 29.

In a joint statement, they said the "constructive" talks covered what legal "guarantees could be given with regard to the backstop that underlines once again its temporary nature".

The pair also noted discussing "the role alternative arrangements could play in replacing the backstop in future".

Hammond said the statement constituted "some movement from the European side".

Despite officials in both Brussels and London playing down suggestions that an EU-Arab summit this weekend could become a Brexit "deal in the desert" meeting, Hammond added May's attendance was an "opportunity to talk to some of the European counterparts there".

Brexit Secretary Stephen Barclay and Attorney General Geoffrey Cox were set to hold "detailed discussions" with Barnier in Brussels on Thursday, according to Downing Street.

Cox -- whose previous legal analysis of May's deal confirmed Brexiteer fears the backstop could "trap" Britain indefinitely in an EU customs union -- is seen as an influential figure if the prime minister is to get her agreement through parliament.

Britain's finance minister Philip Hammond said Thursday there had been "some movement" by the European Union that could lead to a breakthrough in Brexit talks in "the next few days".

Britain's finance minister Philip Hammond said Thursday there had been "some movement" by the European Union that could lead to a breakthrough in Brexit talks in "the next few days". Hammond said progress in the ongoing negotiations could result in a fresh vote next week on prime minister Theresa May's EU divorce deal, which was rejected by lawmakers last month. "There may be an opportunity to bring a vote back to the House of Commons," he told the BBC. "But that will depend on the progress that's made over the next few days. These discussions are ongoing." May and the other 27 EU leaders approved a Brexit withdrawal agreement at a summit on November 25 last year, but the British parliament voted against it overwhelmingly on January 15. Since then, she and her ministers have repeatedly urged EU leaders and their negotiator, Michel Barnier, to revise a "backstop" clause in the text on the Irish border that is hated by eurosceptic MPs. EU chiefs have insisted they will not reopen the legally-enforceable withdrawal deal but could add to an accompanying political declaration which sets out aspirations for the future relationship. May met with European Commission president Jean-Claude Juncker on Wednesday hoping for movement on the contentious backstop, as fears grow Britain could crash out of the bloc without a deal on March 29. In a joint statement, they said the "constructive" talks covered what legal "guarantees could be given with regard to the backstop that underlines once again its temporary nature". The pair also noted discussing "the role alternative arrangements could play in replacing the backstop in future". Hammond said the statement constituted "some movement from the European side". Despite officials in both Brussels and London playing down suggestions that an EU-Arab summit this weekend could become a Brexit "deal in the desert" meeting, Hammond added May's attendance was an "opportunity to talk to some of the European counterparts there". Brexit Secretary Stephen Barclay and Attorney General Geoffrey Cox were set to hold "detailed discussions" with Barnier in Brussels on Thursday, according to Downing Street. Cox -- whose previous legal analysis of May's deal confirmed Brexiteer fears the backstop could "trap" Britain indefinitely in an EU customs union -- is seen as an influential figure if the prime minister is to get her agreement through parliament.

Brexit breakthrough possible within days: UK finance minister Philip Hammond

Three pro-EU lawmakers from Britain's governing Conservatives quit over the "disastrous handling of Brexit" on Wednesday, in a blow to Prime Minister Theresa May's attempts to unite her party around plans to leave the European Union.

The lawmakers, long critical of May's Brexit strategy to leave the EU which they believe is being driven by Conservative eurosceptics, said in a statement they would join a <a href="http://www.wionews.com/world/seven-lawmakers-quit-uk-labour-party-citing-brexit-betrayal-anti-semitism-198096">new group in parliament set up by seven former opposition Labour politicians</a>.

The resignations put May in an even weaker position in parliament, where her <a href="http://www.wionews.com/world/uks-may-suffers-embarrassing-brexit-defeat-in-parliament-197491">Brexit deal was crushed by lawmakers </a>last month when eurosceptics and EU supporters voted against an agreement that both sides say offers the worst of all worlds.

They could also undermine May's negotiating position in Brussels, where she is going later on Wednesday for talks with Commission President Jean-Claude Juncker to try to secure an opening for further technical work on revising the agreement.

With only 37 days until Britain leaves the EU, its biggest foreign and trade policy shift in more than 40 years, divisions over Brexit are redrawing the political landscape. The resignations threaten a decades-old two-party system.

"The final straw for us has been this government's disastrous handling of Brexit," the three lawmakers, Heidi Allen, Anna Soubry and Sarah Wollaston, said in a statement.

"We no longer feel we can remain in the party of a government whose policies and priorities are so firmly in the grip of the ERG and DUP," they said, referring to a group of Conservative pro-Brexit lawmakers and the Northern Irish Democratic Unionist Party which props up the government in parliament.

Earlier this week, seven former Labour lawmakers announced a new movement, the Independent Group, after quitting their party over increasing frustration with their leader Jeremy Corbyn's Brexit strategy and a row over anti-Semitism.

Another former Labour lawmaker joined their ranks late on Tuesday, and several politicians from both the main opposition party and Conservatives said they expected more to follow from both sides of parliament.

For May's Brexit plan, the resignations are yet another blow to more than two years of talks to leave the EU, which have been punctuated by defeats in parliament, rows over policy and a confidence vote, which she ultimately won.

Three pro-EU lawmakers from Britain's governing Conservatives quit over the "disastrous handling of Brexit" on Wednesday, in a blow to Prime Minister Theresa May's attempts to unite her party around plans to leave the European Union.

Three pro-EU lawmakers from Britain's governing Conservatives quit over the "disastrous handling of Brexit" on Wednesday, in a blow to Prime Minister Theresa May's attempts to unite her party around plans to leave the European Union. The lawmakers, long critical of May's Brexit strategy to leave the EU which they believe is being driven by Conservative eurosceptics, said in a statement they would join a new group in parliament set up by seven former opposition Labour politicians. The resignations put May in an even weaker position in parliament, where her Brexit deal was crushed by lawmakers last month when eurosceptics and EU supporters voted against an agreement that both sides say offers the worst of all worlds. They could also undermine May's negotiating position in Brussels, where she is going later on Wednesday for talks with Commission President Jean-Claude Juncker to try to secure an opening for further technical work on revising the agreement. With only 37 days until Britain leaves the EU, its biggest foreign and trade policy shift in more than 40 years, divisions over Brexit are redrawing the political landscape. The resignations threaten a decades-old two-party system. "The final straw for us has been this government's disastrous handling of Brexit," the three lawmakers, Heidi Allen, Anna Soubry and Sarah Wollaston, said in a statement. "We no longer feel we can remain in the party of a government whose policies and priorities are so firmly in the grip of the ERG and DUP," they said, referring to a group of Conservative pro-Brexit lawmakers and the Northern Irish Democratic Unionist Party which props up the government in parliament. Earlier this week, seven former Labour lawmakers announced a new movement, the Independent Group, after quitting their party over increasing frustration with their leader Jeremy Corbyn's Brexit strategy and a row over anti-Semitism. Another former Labour lawmaker joined their ranks late on Tuesday, and several politicians from both the main opposition party and Conservatives said they expected more to follow from both sides of parliament. For May's Brexit plan, the resignations are yet another blow to more than two years of talks to leave the EU, which have been punctuated by defeats in parliament, rows over policy and a confidence vote, which she ultimately won.

Three UK Conservatives quit party in protest over 'disastrous Brexit'

Honda's decision on Tuesday to close its only British car plant in 2021 with the loss of up to 3,500 jobs was discussed in the British parliament, with British Business Minister Greg Clark describing it as a "bitter blow".

The closure of the plant marks a major departure of Japanese investment and was announced just over a month before the United Kingdom is due to leave the European Union.

The automaker is Britain's fourth-biggest automaker, building more than a tenth of the 1.5 million cars made in the country.

Honda said the move was not related to Brexit and it needed to focus activities in regions where it expects to sell most cars, after struggling in Europe.

The loss of such a major employer in Swindon, which backed Brexit in the June 2016 referendum, risks a further 10,000 jobs in the supply chain, which could have knock-on effects for other carmakers due to the interconnected nature of the sector.

Honda's decision on Tuesday to close its only British car plant in 2021 with the loss of up to 3,500 jobs was discussed in the British parliament, with British Business Minister Greg Clark describing it as a "bitter blow".

Honda's decision on Tuesday to close its only British car plant in 2021 with the loss of up to 3,500 jobs was discussed in the British parliament, with British Business Minister Greg Clark describing it as a "bitter blow". The closure of the plant marks a major departure of Japanese investment and was announced just over a month before the United Kingdom is due to leave the European Union. The automaker is Britain's fourth-biggest automaker, building more than a tenth of the 1.5 million cars made in the country. Honda said the move was not related to Brexit and it needed to focus activities in regions where it expects to sell most cars, after struggling in Europe. The loss of such a major employer in Swindon, which backed Brexit in the June 2016 referendum, risks a further 10,000 jobs in the supply chain, which could have knock-on effects for other carmakers due to the interconnected nature of the sector.

Honda decision a 'bitter blow' to UK: Business minister

<a href="http://www.wionews.com/world/british-pm-may-seeks-a-border-compromise-in-northern-ireland-195606">Ireland's deputy prime minister</a> expressed annoyance on Monday at Britain's continued <a href="http://www.wionews.com/world/new-brexit-talks-in-brussels-next-week-197609">failure to ratify a deal</a> on its orderly withdrawal from the European Union.

"Of course there's frustration," Simon Coveney, who is also Dublin's foreign minister, told reporters after more talks in Brussels with EU colleagues.

Britain's Prime Minister Theresa May thinks she might be able to get a deal signed with EU leaders in November past the British parliament if it is reworded.

But EU leaders, as Coveney noted, insist this is a non-starter and that, in particular, a guarantee of no hard border between Ireland and the UK must stay.

"My job is to try to protect Irish interests and the Irish people through Brexit, which is not an Irish policy," he said after the ministerial meeting.

"We are spending hundreds of millions of euros in Ireland preparing for a no-deal Brexit to try to protect Irish citizens," he added.&nbsp;

"We don't want to have to do that. Of course, we want a solution here. And yes, there's frustration," he said.

"We have less than 40 days to go until the United Kingdom formally leaves the European Union and we still don't know what the British government is actually asking for to actually get this deal ratified."

Earlier, Coveney had met chief EU Brexit negotiator Michel Barnier for an update on the talks.

Later, Barnier met Britain's latest minister for Brexit, Stephen Barclay, who is preparing in Brussels with British attorney general Geoffrey Cox to prepare the ground for May to return.

"Productive conversations with @MichelBarnier, with a commitment to work together to solve the backstop. I'll update my colleagues in Cabinet tomorrow," Barclay tweeted.

London wants the "backstop", the clause binding Northern Ireland into the EU customs union if a new deal to keep the border open is not found, to be time-limited or to be allowed to unilaterally end it.

May hopes that if the text of the deal is modified or clarified in such a way that Cox is able to advise sceptical lawmakers that the backstop is not binding, a majority would back it. &nbsp;&nbsp;

British foreign minister Jeremy Hunt had insisted upon arriving at the meeting that Britain's support for the Northern Ireland peace deal was "unconditional".

Both London and Brussels would have to show flexibility to find a reworked Brexit deal that could get past the House of Commons, he said.

"But what we need is trust and vision on both sides, because what's at stake here is Britain's relationship with its European neighbours for the next 25 years."

Ireland's deputy prime minister expressed annoyance on Monday at Britain's continued failure to ratify a deal on its orderly withdrawal from the European Union. "Of course there's frustration," Simon Coveney, who is also Dublin's foreign minister, told reporters after more talks in Brussels with EU colleagues.

Ireland's deputy prime minister expressed annoyance on Monday at Britain's continued failure to ratify a deal on its orderly withdrawal from the European Union. "Of course there's frustration," Simon Coveney, who is also Dublin's foreign minister, told reporters after more talks in Brussels with EU colleagues. Britain's Prime Minister Theresa May thinks she might be able to get a deal signed with EU leaders in November past the British parliament if it is reworded. But EU leaders, as Coveney noted, insist this is a non-starter and that, in particular, a guarantee of no hard border between Ireland and the UK must stay. "My job is to try to protect Irish interests and the Irish people through Brexit, which is not an Irish policy," he said after the ministerial meeting. "We are spending hundreds of millions of euros in Ireland preparing for a no-deal Brexit to try to protect Irish citizens," he added. "We don't want to have to do that. Of course, we want a solution here. And yes, there's frustration," he said. "We have less than 40 days to go until the United Kingdom formally leaves the European Union and we still don't know what the British government is actually asking for to actually get this deal ratified." Earlier, Coveney had met chief EU Brexit negotiator Michel Barnier for an update on the talks. Later, Barnier met Britain's latest minister for Brexit, Stephen Barclay, who is preparing in Brussels with British attorney general Geoffrey Cox to prepare the ground for May to return. "Productive conversations with @MichelBarnier, with a commitment to work together to solve the backstop. I'll update my colleagues in Cabinet tomorrow," Barclay tweeted. London wants the "backstop", the clause binding Northern Ireland into the EU customs union if a new deal to keep the border open is not found, to be time-limited or to be allowed to unilaterally end it. May hopes that if the text of the deal is modified or clarified in such a way that Cox is able to advise sceptical lawmakers that the backstop is not binding, a majority would back it. British foreign minister Jeremy Hunt had insisted upon arriving at the meeting that Britain's support for the Northern Ireland peace deal was "unconditional". Both London and Brussels would have to show flexibility to find a reworked Brexit deal that could get past the House of Commons, he said. "But what we need is trust and vision on both sides, because what's at stake here is Britain's relationship with its European neighbours for the next 25 years."

Ireland expresses 'frustration' at Brexit deal delay

Panasonic, Sony, Nissan and now Honda: a recent exodus of Japanese firms from Britain is not solely down to Brexit, analysts say, but it has in many cases accelerated the decision to leave.&nbsp;

On Tuesday, <a href="http://www.wionews.com/business-economy/honda-to-shut-only-british-factory-mulls-a-move-to-north-america-198289">Honda was the latest Japanese firm to send shockwaves</a> through British industry by announcing the end of its plant in Swindon, where around 3,500 workers have been producing the "Civic" for more than 24 years.

Officials rushed to divert blame from Brexit, with local MP Justin Tomlinson saying the decision was down to "global trends" and pointing out that Honda was transferring all European production back to Japan.

But while there are specific reasons behind each individual business decision, analysts said the spectre of Brexit was haunting Japanese firms across the board.

"Honda seems to have been preparing for this for a long time. Then Brexit happened, which might have pushed the company to make the decision now," said Seiji Sugiura, an analyst at Tokai Tokyo Research Institute.

Both Sugiura and Satoru Takada, an auto analyst at TIW research firm based in Tokyo, noted that Honda had been debating what to do with the Swindon plant for some time.

"It has struggled in recent years. Then came Brexit," said Takada.

"The change in the business environment pushed the company to make the decision now," he added.

Honda's decision came hot on the heels of Nissan axing production at its Sunderland plant in northeastern England.

There are around 1,000 Japanese companies operating in Britain, supporting some 140,000 jobs.

And while firms from Japan are not the only ones pulling out from Britain, a long history of Japanese investment in the country stemming from Japan Inc's boom days in the late 80s makes the exodus all the more painful.

"I think Swindon's finished without Honda," said Sue Davis, a local resident. "My ex-husband works there, has done for 20 years."

Sugiura said Japanese carmakers were attracted by a business-friendly environment under Conservative leader Margaret Thatcher in the 1980s as well as by Britain's access to European markets.

"Originally they decided to go to Britain, rather than the continent, because it offered the merit of an integrated EU. Now, things are the exact opposite," the analyst told AFP.

'Country risk'

When it comes to the automakers, rapid changes in the car industry and the global trade environment are also factors in paring back operations, the analysts said.

A huge EU-Japan free trade agreement that came into effect this month also reduces the incentive for Japanese firms to operate in Europe by phasing out tariffs.

Takada also pointed out that Japanese firms have generally struggled in Europe where they are competing on the home turf of German giants like Volkswagen.

But it is not just carmakers deciding to scale back their presence. Electronics giants Sony and Panasonic have also announced shifts from Britain.

Major Japanese banks are pulling out of London and nuclear firm Hitachi last month announced a freeze in a major power plant in Wales.

Many of these firms said Brexit wasn't the only factor in their decision but it played a part.

"What are the reasons for this pullout? One of them is distrust in Britain itself -- its economy, politics and society are in disarray," said Yosuku Tsuchida, a researcher at Mitsubishi UFJ Research and Consulting.

"It's country risk."

Tsuchida predicted that other firms using Britain as a base for continental Europe would consider pulling out.

Japanese Prime Minister Shinzo Abe has pleaded for clarity for Japanese firms and said "the whole world" is hoping that a no-deal Brexit can be avoided.

Analyst Sugiura from Tokai Tokyo said the future for investment into Britain was far from bright.

"The lack of clarity in Brexit is discouraging businesses from making a fresh investment. Investing in the UK doesn't seem attractive anymore now."

"One has to question if Britain is now a suitable location to have a production hub," said Takada.

Panasonic, Sony, Nissan and now Honda: a recent exodus of Japanese firms from Britain is not solely down to Brexit, analysts say, but it has in many cases accelerated the decision to leave.

Panasonic, Sony, Nissan and now Honda: a recent exodus of Japanese firms from Britain is not solely down to Brexit, analysts say, but it has in many cases accelerated the decision to leave. On Tuesday, Honda was the latest Japanese firm to send shockwaves through British industry by announcing the end of its plant in Swindon, where around 3,500 workers have been producing the "Civic" for more than 24 years. Officials rushed to divert blame from Brexit, with local MP Justin Tomlinson saying the decision was down to "global trends" and pointing out that Honda was transferring all European production back to Japan. But while there are specific reasons behind each individual business decision, analysts said the spectre of Brexit was haunting Japanese firms across the board. "Honda seems to have been preparing for this for a long time. Then Brexit happened, which might have pushed the company to make the decision now," said Seiji Sugiura, an analyst at Tokai Tokyo Research Institute. Both Sugiura and Satoru Takada, an auto analyst at TIW research firm based in Tokyo, noted that Honda had been debating what to do with the Swindon plant for some time. "It has struggled in recent years. Then came Brexit," said Takada. "The change in the business environment pushed the company to make the decision now," he added. Honda's decision came hot on the heels of Nissan axing production at its Sunderland plant in northeastern England. There are around 1,000 Japanese companies operating in Britain, supporting some 140,000 jobs. And while firms from Japan are not the only ones pulling out from Britain, a long history of Japanese investment in the country stemming from Japan Inc's boom days in the late 80s makes the exodus all the more painful. "I think Swindon's finished without Honda," said Sue Davis, a local resident. "My ex-husband works there, has done for 20 years." Sugiura said Japanese carmakers were attracted by a business-friendly environment under Conservative leader Margaret Thatcher in the 1980s as well as by Britain's access to European markets. "Originally they decided to go to Britain, rather than the continent, because it offered the merit of an integrated EU. Now, things are the exact opposite," the analyst told AFP. 'Country risk' When it comes to the automakers, rapid changes in the car industry and the global trade environment are also factors in paring back operations, the analysts said. A huge EU-Japan free trade agreement that came into effect this month also reduces the incentive for Japanese firms to operate in Europe by phasing out tariffs. Takada also pointed out that Japanese firms have generally struggled in Europe where they are competing on the home turf of German giants like Volkswagen. But it is not just carmakers deciding to scale back their presence. Electronics giants Sony and Panasonic have also announced shifts from Britain. Major Japanese banks are pulling out of London and nuclear firm Hitachi last month announced a freeze in a major power plant in Wales. Many of these firms said Brexit wasn't the only factor in their decision but it played a part. "What are the reasons for this pullout? One of them is distrust in Britain itself -- its economy, politics and society are in disarray," said Yosuku Tsuchida, a researcher at Mitsubishi UFJ Research and Consulting. "It's country risk." Tsuchida predicted that other firms using Britain as a base for continental Europe would consider pulling out. Japanese Prime Minister Shinzo Abe has pleaded for clarity for Japanese firms and said "the whole world" is hoping that a no-deal Brexit can be avoided. Analyst Sugiura from Tokai Tokyo said the future for investment into Britain was far from bright. "The lack of clarity in Brexit is discouraging businesses from making a fresh investment. Investing in the UK doesn't seem attractive anymore now." "One has to question if Britain is now a suitable location to have a production hub," said Takada.

Brexit accelerating Japanese firms' exodus from UK: Report

Britain will not take part in the elections to the European Parliament in May because it will leave the European Union on March 29th, junior Brexit minister Martin Callanan told reporters on Tuesday.

European Commission head Jean-Claude Juncker said on Monday that although it seemed unlikely, he could not rule out that Britain would participate in the European elections because it could ask for an extension of the deadline to leave the EU.

But asked if Britain could take part in the elections, Callanan said, "No, because we are leaving ... on the 29th of March"

Asked if that meant Britain would not ask for an extension of the deadline to get more time to agree with a withdrawal agreement, Callanan said, "The prime minister has been very clear that we intend to leave on the 29th of March -- that's what Art 50 says and that's what our domestic legislation says."

Britain will not take part in the elections to the European Parliament in May because it will leave the European Union on March 29th, junior Brexit minister Martin Callanan told reporters on Tuesday.

Britain will not take part in the elections to the European Parliament in May because it will leave the European Union on March 29th, junior Brexit minister Martin Callanan told reporters on Tuesday. European Commission head Jean-Claude Juncker said on Monday that although it seemed unlikely, he could not rule out that Britain would participate in the European elections because it could ask for an extension of the deadline to leave the EU. But asked if Britain could take part in the elections, Callanan said, "No, because we are leaving ... on the 29th of March" Asked if that meant Britain would not ask for an extension of the deadline to get more time to agree with a withdrawal agreement, Callanan said, "The prime minister has been very clear that we intend to leave on the 29th of March -- that's what Art 50 says and that's what our domestic legislation says."

Britain will not take part in EU parliament elections: Junior Brexit minister

WION Gravitas: 7 Lawmakers resign from Labour Party over Brexit

Seven Labour lawmakers quit Britain's main opposition party on Monday over leader Jeremy Corbyn's approach to Brexit and a row over anti-Semitism, saying Labour had been "hijacked by the machine politics of the hard left."

The departure of the small group of lawmakers underlines the mounting frustration with Corbyn's reluctance to change his Brexit strategy and start campaigning for a second referendum on Britain's membership of the European Union.

With only 39 days until Britain leaves the EU in its biggest foreign and trade policy shift in more than 40 years, divisions over Brexit have fragmented British politics, breaking down traditional party lines and creating new coalitions across the country's left/right divide.

"The Labour party that we joined that we campaigned for and believed in is no longer today's Labour Party. We did everything we could to save it, but it has now been hijacked by the machine politics of the hard left," lawmaker Chris Leslie told a news conference.

"Evidence of Labour's betrayal on Europe is now visible for all to see. Offering to actually enable this government's Brexit, constantly holding back from allowing the public a final say."

The seven lawmakers were: Luciana Berger, Leslie, Angela Smith, Gavin Shuker, Chuka Umunna, Mike Gapes and Ann Coffey. They will continue to sit as lawmakers in parliament under the banner 'The Independent Group'.

Labour won 262 seats at the 2017 election.

A Labour source close to the group said Monday's departures could trigger a second wave of resignations, underlining the frustration over Corbyn's approach to Britain's biggest shift in foreign and trade policy in more than 40 years.

Corbyn said in a statement: "I am disappointed that these MPs (Members of Parliament) have felt unable to continue to work together for the Labour policies that inspired millions at the last election."

Corbyn has so far stuck to Labour policy to keep the option of a second referendum "on the table" if Prime Minister Theresa May's government fails to secure a deal with Brussels that can pass through parliament.

His first choice is a new election but he has also called on May to change her "red lines" and for her to embrace his plan for a permanent customs union with the EU - something the prime minister has so far refused to do.

Britain's 2016 referendum, which saw 52 per cent of voters back leaving the EU, has deeply divided both of the country's main parties, with both leaders struggling to preserve any unity in Labour and Conservative ranks.

The prospect of holding such a second referendum poses a challenge for Corbyn: while many of the party's members fervently back a so-called People's vote, others just want Britain to leave as soon as possible.

But Corbyn, a veteran peace campaigner, has also been accused by some lawmakers for failing to tackle anti-Semitism in the party, an allegation that has dogged the pro-Palestinian politician since he became the leader in 2015.

Corbyn denies that he has allowed anti-Semitism to grow in the Labour Party and has pledged to stamp it out.

Seven Labour lawmakers quit Britain's main opposition party on Monday over leader Jeremy Corbyn's approach to Brexit and a row over anti-Semitism, saying Labour had been "hijacked by the machine politics of the hard left.

Seven Labour lawmakers quit Britain's main opposition party on Monday over leader Jeremy Corbyn's approach to Brexit and a row over anti-Semitism, saying Labour had been "hijacked by the machine politics of the hard left." The departure of the small group of lawmakers underlines the mounting frustration with Corbyn's reluctance to change his Brexit strategy and start campaigning for a second referendum on Britain's membership of the European Union. With only 39 days until Britain leaves the EU in its biggest foreign and trade policy shift in more than 40 years, divisions over Brexit have fragmented British politics, breaking down traditional party lines and creating new coalitions across the country's left/right divide. "The Labour party that we joined that we campaigned for and believed in is no longer today's Labour Party. We did everything we could to save it, but it has now been hijacked by the machine politics of the hard left," lawmaker Chris Leslie told a news conference. "Evidence of Labour's betrayal on Europe is now visible for all to see. Offering to actually enable this government's Brexit, constantly holding back from allowing the public a final say." The seven lawmakers were: Luciana Berger, Leslie, Angela Smith, Gavin Shuker, Chuka Umunna, Mike Gapes and Ann Coffey. They will continue to sit as lawmakers in parliament under the banner 'The Independent Group'. Labour won 262 seats at the 2017 election. A Labour source close to the group said Monday's departures could trigger a second wave of resignations, underlining the frustration over Corbyn's approach to Britain's biggest shift in foreign and trade policy in more than 40 years. Corbyn said in a statement: "I am disappointed that these MPs (Members of Parliament) have felt unable to continue to work together for the Labour policies that inspired millions at the last election." Corbyn has so far stuck to Labour policy to keep the option of a second referendum "on the table" if Prime Minister Theresa May's government fails to secure a deal with Brussels that can pass through parliament. His first choice is a new election but he has also called on May to change her "red lines" and for her to embrace his plan for a permanent customs union with the EU - something the prime minister has so far refused to do. Britain's 2016 referendum, which saw 52 per cent of voters back leaving the EU, has deeply divided both of the country's main parties, with both leaders struggling to preserve any unity in Labour and Conservative ranks. The prospect of holding such a second referendum poses a challenge for Corbyn: while many of the party's members fervently back a so-called People's vote, others just want Britain to leave as soon as possible. But Corbyn, a veteran peace campaigner, has also been accused by some lawmakers for failing to tackle anti-Semitism in the party, an allegation that has dogged the pro-Palestinian politician since he became the leader in 2015. Corbyn denies that he has allowed anti-Semitism to grow in the Labour Party and has pledged to stamp it out.

Seven lawmakers quit UK Labour Party citing Brexit 'betrayal', anti-Semitism

Both Britain's minister for Brexit Stephen Barclay and opposition leader Jeremy Corbyn will visit Brussels next week for talks with EU negotiator Michel Barnier.

"Mr Barnier's door is always open," an EU spokesman said, confirming that Barclay was expected to visit EU headquarters on Monday and Corbyn on Thursday.

Prime Minister Theresa May is also expected in Brussels next week, but the visit has not been confirmed.&nbsp;

Britain is due to leave the EU on March 29, but Prime Minister Theresa May is struggling to persuade parliament to back a divorce deal.

EU leaders fear severe economic disruption if London leaves the bloc without a follow on agreement providing for a transition period to negotiate a trade deal.

Corbyn has suggested Labour MPs would rescue the withdrawal plan if EU leaders promise to allow Britain to remain in the EU customs union.

May and many of her Conservative MPs reject that idea, but Barnier and EU Council President Donald Tusk have described it as "interesting".

Both Britain's minister for Brexit Stephen Barclay and opposition leader Jeremy Corbyn will visit Brussels next week for talks with EU negotiator Michel Barnier.

Both Britain's minister for Brexit Stephen Barclay and opposition leader Jeremy Corbyn will visit Brussels next week for talks with EU negotiator Michel Barnier. "Mr Barnier's door is always open," an EU spokesman said, confirming that Barclay was expected to visit EU headquarters on Monday and Corbyn on Thursday. Prime Minister Theresa May is also expected in Brussels next week, but the visit has not been confirmed. Britain is due to leave the EU on March 29, but Prime Minister Theresa May is struggling to persuade parliament to back a divorce deal. EU leaders fear severe economic disruption if London leaves the bloc without a follow on agreement providing for a transition period to negotiate a trade deal. Corbyn has suggested Labour MPs would rescue the withdrawal plan if EU leaders promise to allow Britain to remain in the EU customs union. May and many of her Conservative MPs reject that idea, but Barnier and EU Council President Donald Tusk have described it as "interesting".

New Brexit talks in Brussels next week

British Prime Minister Theresa May suffered another humiliating Brexit defeat at the hands of her own eurosceptic MPs on Thursday, with just weeks to go until Britain officially leaves the EU

In the symbolic vote, MPs voted 303 to 258 against a government motion endorsing its next moves in trying to secure a new withdrawal deal with the European Union.

British Prime Minister Theresa May suffered another humiliating Brexit defeat at the hands of her own eurosceptic MPs on Thursday, with just weeks to go until Britain officially leaves the EU In the symbolic vote, MPs voted 303 to 258 against a government motion endorsing its next moves in trying to secure a new withdrawal deal with the European Union.

UK's May suffers embarrassing Brexit defeat in parliament

British Prime Minister Theresa May could face a defeat in parliament on Thursday over her plan to renegotiate the Brexit deal, undermining her pledge to the European Union that, with changes, she can get the agreement approved.

Thursday's symbolic vote was seen by May's team as little more than a rubber stamp of her plan to secure changes to the divorce deal with the EU, giving her more time to satisfy lawmakers' concerns over one part of it — the Irish backstop.

But hardline Brexit supporters in her governing Conservative Party are angry over what they say is her acceptance of ruling out a no-deal departure, something May and her team deny, saying by law Britain will leave the EU on March 29 without an agreement if no deal is struck.

Also read:<a href="http://www.wionews.com/world/its-mays-deal-or-long-brexit-delay-uks-chief-negotiator-overheard-saying-in-bar-197142"> It's May's deal or long Brexit delay, UK's chief negotiator overheard saying in </a><a href="http://www.wionews.com/world/its-mays-deal-or-long-brexit-delay-uks-chief-negotiator-overheard-saying-in-bar-197142">bar</a>

The latest twist in the two-year negotiation to leave the EU underlines the deep divisions in parliament over how, or even whether, Britain should leave the bloc in the country's biggest political and trade policy shift in more than 40 years.

A rebellion, even in a symbolic vote, would be a blow to May, who has insisted to EU leaders that if they offer her more concessions to the deal agreed in November, she can command a majority in parliament and get the agreement passed.

Trade minister Liam Fox urged lawmakers to back the prime minister, warning: "Our European partners will be watching".

Steve Baker, a member of the pro-Brexit European Research Group of Conservative lawmakers, said no lawmaker in the governing party could be associated with anything which seems to take a "no-deal Brexit" off the table.

"Compromising no deal would be the daftest negotiating strategy and not in the national interest," he said on Twitter.

Another Conservative lawmaker said the ERG was still discussing which strategy to pursue on Thursday - to vote against or abstain.

May is trying to secure changes to the backstop arrangement to prevent a return of border controls between Northern Ireland and EU-member Ireland to ease concerns that Britain will be kept too closely in the EU's orbit indefinitely or that the British province will be split away.

Extend stay

On Wednesday, European Council President Donald Tusk said the bloc was waiting for Britain to present solid proposals to break the impasse after meetings in Brussels and telephone calls between May and EU leaders.

Some Conservative and many opposition lawmakers accuse May of "running down the clock", edging Britain closer to the exit date to try to force parliament to choose between backing her deal or leaving without an agreement.

Many businesses say that outcome would be catastrophic for the world's fifth largest economy by causing major delays at ports, fracturing international supply chains and hindering investment.

More than 40 former British ambassadors called on the government to extend Britain's stay in the EU or allow for a second referendum, The Times newspaper reported. May has repeatedly said she does not back a second vote.

To try to prevent a no deal, several lawmakers will try to get parliament to back their alternative proposals on Thursday, with options including calling a second referendum, a delay to Brexit, votes on a range of options and even a push to reverse the decision to leave the EU.

It is not clear whether any will win enough support to pass, with lawmakers who are seeking to force the government to delay Brexit saying they will wait until the next round of votes May has promised on Feb. 27 to make their move.

British Prime Minister Theresa May could face a defeat in parliament on Thursday over her plan to renegotiate the Brexit deal, undermining her pledge to the European Union that, with changes, she can get the agreement approved.

British Prime Minister Theresa May could face a defeat in parliament on Thursday over her plan to renegotiate the Brexit deal, undermining her pledge to the European Union that, with changes, she can get the agreement approved. Thursday's symbolic vote was seen by May's team as little more than a rubber stamp of her plan to secure changes to the divorce deal with the EU, giving her more time to satisfy lawmakers' concerns over one part of it — the Irish backstop. But hardline Brexit supporters in her governing Conservative Party are angry over what they say is her acceptance of ruling out a no-deal departure, something May and her team deny, saying by law Britain will leave the EU on March 29 without an agreement if no deal is struck. Also read: It's May's deal or long Brexit delay, UK's chief negotiator overheard saying in bar The latest twist in the two-year negotiation to leave the EU underlines the deep divisions in parliament over how, or even whether, Britain should leave the bloc in the country's biggest political and trade policy shift in more than 40 years. A rebellion, even in a symbolic vote, would be a blow to May, who has insisted to EU leaders that if they offer her more concessions to the deal agreed in November, she can command a majority in parliament and get the agreement passed. Trade minister Liam Fox urged lawmakers to back the prime minister, warning: "Our European partners will be watching". Steve Baker, a member of the pro-Brexit European Research Group of Conservative lawmakers, said no lawmaker in the governing party could be associated with anything which seems to take a "no-deal Brexit" off the table. "Compromising no deal would be the daftest negotiating strategy and not in the national interest," he said on Twitter. Another Conservative lawmaker said the ERG was still discussing which strategy to pursue on Thursday - to vote against or abstain. May is trying to secure changes to the backstop arrangement to prevent a return of border controls between Northern Ireland and EU-member Ireland to ease concerns that Britain will be kept too closely in the EU's orbit indefinitely or that the British province will be split away. Extend stay On Wednesday, European Council President Donald Tusk said the bloc was waiting for Britain to present solid proposals to break the impasse after meetings in Brussels and telephone calls between May and EU leaders. Some Conservative and many opposition lawmakers accuse May of "running down the clock", edging Britain closer to the exit date to try to force parliament to choose between backing her deal or leaving without an agreement. Many businesses say that outcome would be catastrophic for the world's fifth largest economy by causing major delays at ports, fracturing international supply chains and hindering investment. More than 40 former British ambassadors called on the government to extend Britain's stay in the EU or allow for a second referendum, The Times newspaper reported. May has repeatedly said she does not back a second vote. To try to prevent a no deal, several lawmakers will try to get parliament to back their alternative proposals on Thursday, with options including calling a second referendum, a delay to Brexit, votes on a range of options and even a push to reverse the decision to leave the EU. It is not clear whether any will win enough support to pass, with lawmakers who are seeking to force the government to delay Brexit saying they will wait until the next round of votes May has promised on Feb. 27 to make their move.

Britain's PM May could face yet another Brexit defeat in parliament

<a href="http://www.wionews.com/business-economy/asian-stocks-lifted-by-us-china-trade-talk-hopes-197048">Stock markets jumped </a>Wednesday on hopes of a breakthrough in the <a href="http://www.wionews.com/world/us-china-trade-talks-begin-amid-deep-differences-193945">US-China trade </a>war.

The dollar mostly rose, while oil prices rallied on news that OPEC crude output hit a four-year nadir.

The pound weakened after official data showed UK inflation hit a two-year low and as the Brexit impasse drags on without a breakthrough insight.

In the US, President Donald Trump said he may extend his trade deal deadline with Beijing, while a report claimed his Chinese counterpart Xi Jinping would meet with top US officials, seeming to boost the prospects of an agreement.

High-level talks are due to begin in the Chinese capital Thursday aimed at an accord to stop sharp US tariff hikes that could damage the global economy.

Trump said he could let his March 1 deadline for the tariffs "slide for a little while" if the two sides were close to a meaningful deal, adding that he expects a summit with President Xi "at some point".

Later, a report in the South China Morning Post said Xi would personally meet the US delegation in Beijing, suggesting a redoubled effort to make progress on a deal.

Washington is demanding changes from Beijing on what it says are unfair commercial practices. A resolution would prevent US tariffs more than doubling on $200 billion in Chinese imports next month.&nbsp;

Tokyo stocks added a further 1.3 per cent after Tuesday's gains to finish at a two-month high.

Hong Kong rose 1.2 per cent, and Shanghai earned 1.8 per cent on the news, following Wall Street's lead.

European equities also climbed, with London up 0.6 per cent, Paris 0.3 per cent and Frankfurt 0.2 per cent nearing the half-way stage.

However, some analysts struck a cautious tone, noting that much work needs to be completed before a framework agreement is in reach.

"The rally in stocks has been based on hope rather than any concrete agreements overnight," warned Oanda senior analyst Jeffrey Halley, predicting short-term volatility to come as headlines emerge from Beijing.

Elsewhere Sydney shed 0.3 per cent, with calls for a snap election amid political tensions over refugees adding to underwhelming corporate earnings and subdued metal prices.

Shutdown unlikely&nbsp;

The New Zealand dollar soared 1.5 per cent as the central bank held interest rates unchanged and forecast no moves until 2021 — defying expectations it may follow dovish leads elsewhere by indicating a rate cut.&nbsp;

Renewed global investor confidence saw a movement away from the greenback — which has enjoyed a strong rally in the past week — to riskier currencies.

The pound moved upwards past $1.29, despite no-deal Brexit fears as Prime Minister Theresa May was accused by the opposition of "running down the clock" and "playing chicken" with Brussels over talks.

The yuan also earned back losses after it had dropped following the Lunar New Year break.

Trump's suggestion that another chaotic US government shutdown was now unlikely following a deal struck in Congress over border security further fuelled risk appetite.

The deal to offer nearly $1.4 billion for construction of a Mexico border wall, as well as other security measures, fell far short of Trump's demands but has been presented as a workable compromise.

"I don't think you're going to see a shutdown," said the president.

Stock markets jumped Wednesday on hopes of a breakthrough in the US-China trade war. The dollar mostly rose, while oil prices rallied on news that OPEC crude output hit a four-year nadir.

Stock markets jumped Wednesday on hopes of a breakthrough in the US-China trade war. The dollar mostly rose, while oil prices rallied on news that OPEC crude output hit a four-year nadir. The pound weakened after official data showed UK inflation hit a two-year low and as the Brexit impasse drags on without a breakthrough insight. In the US, President Donald Trump said he may extend his trade deal deadline with Beijing, while a report claimed his Chinese counterpart Xi Jinping would meet with top US officials, seeming to boost the prospects of an agreement. High-level talks are due to begin in the Chinese capital Thursday aimed at an accord to stop sharp US tariff hikes that could damage the global economy. Trump said he could let his March 1 deadline for the tariffs "slide for a little while" if the two sides were close to a meaningful deal, adding that he expects a summit with President Xi "at some point". Later, a report in the South China Morning Post said Xi would personally meet the US delegation in Beijing, suggesting a redoubled effort to make progress on a deal. Washington is demanding changes from Beijing on what it says are unfair commercial practices. A resolution would prevent US tariffs more than doubling on $200 billion in Chinese imports next month. Tokyo stocks added a further 1.3 per cent after Tuesday's gains to finish at a two-month high. Hong Kong rose 1.2 per cent, and Shanghai earned 1.8 per cent on the news, following Wall Street's lead. European equities also climbed, with London up 0.6 per cent, Paris 0.3 per cent and Frankfurt 0.2 per cent nearing the half-way stage. However, some analysts struck a cautious tone, noting that much work needs to be completed before a framework agreement is in reach. "The rally in stocks has been based on hope rather than any concrete agreements overnight," warned Oanda senior analyst Jeffrey Halley, predicting short-term volatility to come as headlines emerge from Beijing. Elsewhere Sydney shed 0.3 per cent, with calls for a snap election amid political tensions over refugees adding to underwhelming corporate earnings and subdued metal prices. Shutdown unlikely The New Zealand dollar soared 1.5 per cent as the central bank held interest rates unchanged and forecast no moves until 2021 — defying expectations it may follow dovish leads elsewhere by indicating a rate cut. Renewed global investor confidence saw a movement away from the greenback — which has enjoyed a strong rally in the past week — to riskier currencies. The pound moved upwards past $1.29, despite no-deal Brexit fears as Prime Minister Theresa May was accused by the opposition of "running down the clock" and "playing chicken" with Brussels over talks. The yuan also earned back losses after it had dropped following the Lunar New Year break. Trump's suggestion that another chaotic US government shutdown was now unlikely following a deal struck in Congress over border security further fuelled risk appetite. The deal to offer nearly $1.4 billion for construction of a Mexico border wall, as well as other security measures, fell far short of Trump's demands but has been presented as a workable compromise. "I don't think you're going to see a shutdown," said the president.

Stock markets jump as Trump boosts trade deal hopes

British lawmakers will face a stark choice between Prime Minister Theresa May's Brexit deal&nbsp;<a href="http://www.wionews.com/world/delaying-brexit-would-extend-uncertainty-uk-business-minister-195601">a&nbsp;long extension to the March 29 deadline</a> for leaving the bloc, the UK's chief Brexit negotiator was overheard saying in a Brussels bar.

Unless May can get a Brexit deal approved by the British parliament, then she will have to decide whether to delay Brexit or thrust the world's fifth largest economy into chaos by leaving without a deal.

May has repeatedly said the United Kingdom will leave on schedule, with or without a deal, as she tries to get the EU to reopen the divorce agreement she reached in November.

But her chief Brexit negotiator, Olly Robbins, was overheard by an ITV correspondent at a hotel bar in Brussels saying lawmakers would have to choose whether to accept a reworked Brexit deal or a potentially significant delay.

"Got to make them believe that the week beginning end of March... Extension is possible but if they don’t vote for the deal then the extension is a long one," ITV quoted Robbins as saying in the hotel bar on Monday during a private conversation.

Robbins made clear that he felt the fear of a long extension to Article 50 - the process of leaving the EU - might focus lawmakers' minds, ITV said.

The spectacle of one of May's most senior officials undermining her negotiating position in a hotel bar in Brussels indicates the scale of the United Kingdom's Brexit crisis that has shocked both investors and allies.

It is unclear why Robbins, an experienced civil servant, would make such comments in a hotel bar. His remarks will deepen the concerns of Brexit-supporting lawmakers that May could ultimately delay leaving the bloc.

Amid the labyrinthine plots and counterplots of Brexit, the United Kingdom's most significant political and economic move since World War Two, some major investors, such as Ford Motor Co, are trying to work out whether to shutter UK production.

NO-DEAL BREXIT?

Robbins' comments appear to undermine May's central threat of a no-deal Brexit - a scenario that supporters of EU membership say would threaten the United Kingdom's unity, spook investors and create possible chaos at major ports.

Brexit Secretary Steve Barclay said he did not want to comment on conversations heard second hand in a noisy bar but the government's position was that the United Kingdom would leave on March 29 but wanted to do so with a deal.

"If the PM decides we are leaving on 29 March, deal or no deal, that will happen," Brexit-supporting Conservative Party lawmaker Steve Baker said. "Officials advise. Ministers decide."

Brexit campaigner Nigel Farage said: "Olly Robbins represents the civil service fifth column in our country. He should be sacked immediately for a combination of treachery and incompetence."

The opposition Labour Party will back a proposal to try to force the government to take "crucial decisions" on its Brexit plans by the middle of March, the party's Brexit spokesman Keir Starmer said.

On a call with business leaders on Tuesday, May gave the impression that she was determined to try and avoid a no-deal Brexit if she can.

"She's determined to try and avoid a no-deal Brexit if she can, because she recognises in talking to business that this could be very damaging for the UK economy and ergo jobs," Tony Smurfit, chief executive of Irish packaging group Smurfit Kappa, told Reuters.

"She is very conscious of the business position in Great Britain," added Smurfit, who said he took part in conference calls with May on Tuesday and last week.

Britain's economy will barely grow in the run-up to Brexit but if there is a deal there will be a modest post-divorce upturn, according to economists polled by Reuters.

Ford Motor Co told May that it is stepping up preparations to move production out of Britain, The Times reported on Tuesday.

In an indication of just how disruptive Brexit may be, the head of Britain's MI6 foreign spy service is expected to stay on beyond his retirement date this year to guide the intelligence agency through the post-Brexit period, The Times newspaper reported.

British lawmakers will face a stark choice between Prime Minister Theresa May's Brexit deal a long extension to the March 29 deadline for leaving the bloc, the UK's chief Brexit negotiator was overheard saying in a Brussels bar.

British lawmakers will face a stark choice between Prime Minister Theresa May's Brexit deal a long extension to the March 29 deadline for leaving the bloc, the UK's chief Brexit negotiator was overheard saying in a Brussels bar. Unless May can get a Brexit deal approved by the British parliament, then she will have to decide whether to delay Brexit or thrust the world's fifth largest economy into chaos by leaving without a deal. May has repeatedly said the United Kingdom will leave on schedule, with or without a deal, as she tries to get the EU to reopen the divorce agreement she reached in November. But her chief Brexit negotiator, Olly Robbins, was overheard by an ITV correspondent at a hotel bar in Brussels saying lawmakers would have to choose whether to accept a reworked Brexit deal or a potentially significant delay. "Got to make them believe that the week beginning end of March... Extension is possible but if they don’t vote for the deal then the extension is a long one," ITV quoted Robbins as saying in the hotel bar on Monday during a private conversation. Robbins made clear that he felt the fear of a long extension to Article 50 - the process of leaving the EU - might focus lawmakers' minds, ITV said. The spectacle of one of May's most senior officials undermining her negotiating position in a hotel bar in Brussels indicates the scale of the United Kingdom's Brexit crisis that has shocked both investors and allies. It is unclear why Robbins, an experienced civil servant, would make such comments in a hotel bar. His remarks will deepen the concerns of Brexit-supporting lawmakers that May could ultimately delay leaving the bloc. Amid the labyrinthine plots and counterplots of Brexit, the United Kingdom's most significant political and economic move since World War Two, some major investors, such as Ford Motor Co, are trying to work out whether to shutter UK production. NO-DEAL BREXIT? Robbins' comments appear to undermine May's central threat of a no-deal Brexit - a scenario that supporters of EU membership say would threaten the United Kingdom's unity, spook investors and create possible chaos at major ports. Brexit Secretary Steve Barclay said he did not want to comment on conversations heard second hand in a noisy bar but the government's position was that the United Kingdom would leave on March 29 but wanted to do so with a deal. "If the PM decides we are leaving on 29 March, deal or no deal, that will happen," Brexit-supporting Conservative Party lawmaker Steve Baker said. "Officials advise. Ministers decide." Brexit campaigner Nigel Farage said: "Olly Robbins represents the civil service fifth column in our country. He should be sacked immediately for a combination of treachery and incompetence." The opposition Labour Party will back a proposal to try to force the government to take "crucial decisions" on its Brexit plans by the middle of March, the party's Brexit spokesman Keir Starmer said. On a call with business leaders on Tuesday, May gave the impression that she was determined to try and avoid a no-deal Brexit if she can. "She's determined to try and avoid a no-deal Brexit if she can, because she recognises in talking to business that this could be very damaging for the UK economy and ergo jobs," Tony Smurfit, chief executive of Irish packaging group Smurfit Kappa, told Reuters. "She is very conscious of the business position in Great Britain," added Smurfit, who said he took part in conference calls with May on Tuesday and last week. Britain's economy will barely grow in the run-up to Brexit but if there is a deal there will be a modest post-divorce upturn, according to economists polled by Reuters. Ford Motor Co told May that it is stepping up preparations to move production out of Britain, The Times reported on Tuesday. In an indication of just how disruptive Brexit may be, the head of Britain's MI6 foreign spy service is expected to stay on beyond his retirement date this year to guide the intelligence agency through the post-Brexit period, The Times newspaper reported.

It's May's deal or long Brexit delay, UK's chief negotiator overheard saying in bar

With Prime Minister Theresa May on Tuesday asking <a href="http://www.wionews.com/world/uk-parliament-will-not-vote-on-revised-brexit-deal-this-week-pm-mays-office-196962">MPs to give her more time for talks with Brussels </a>to renegotiate her Brexit deal, it remains unclear how Britain will leave the European Union.

EU officials have ruled out re-opening the withdrawal agreement -- the legally binding part of the Brexit deal -- but British officials are hopeful that some compromise will be found.

Three ultimate scenarios remain -- leaving the European Union with a version of the existing deal, crashing out with no deal, or no Brexit at all.

Here are five potential next steps:

Try to alter the deal

MPs last month roundly rejected the deal negotiated by May in the biggest ever parliamentary defeat for a government.

The key sticking point is the agreement's "backstop" solution to keep the Irish border open, which has the potential to leave Britain indefinitely tied to some form of EU customs union.

Brexit hardliners from the Conservative Party's European Research Group have urged May to try and secure legally-binding changes to the backstop.

Northern Ireland's Democratic Unionist Party, which May relies on for a majority in parliament, has also said it will not vote for a deal with the backstop as it stands.

The main opposition Labour Party has signalled that it could support the deal if the government commits to a permanent customs union with the EU but May has ruled this out.

EU leaders have said they are willing to talk further, including on plans for the future trading relationship, but have repeatedly said they will not reopen the withdrawal agreement itself.

No deal

Britain is legally on track to leave the EU with or without a deal on March 29, unless it delays or stops the process.

Leaving with no deal in place threatens to trigger a recession in Britain and markedly slow the EU's economic growth, as well as causing significant legal disruption.

One of the world's biggest economies could lose preferential access to its largest export market overnight, affecting every sector, leading to rising costs and disruption at British ports.

Delay

Speculation has been growing that the government will instead seek to postpone the Brexit process.

Government ministers have spoken of a technical extension but some reports have suggested the delay could be two or three months or even longer.

Political analysts argue lawmakers could still back such a postponement further down the line -- although all the other 27 EU countries would have to agree.

A potential complication is that elections to the European Parliament are due in late May and the new chamber is set to sit on July 2. Some of Britain's 73 seats have already been reallocated.

Brussels also may not be so keen if the delay would simply translate into more months of political gridlock.

Second referendum

Dozens of MPs are seeking a new referendum to reverse the 2016 result, when the Leave campaign won by 52 per cent to 48 per cent.

But supporters admit they do not currently have the numbers in parliament to make it happen.

No law prevents Britain from doing it all over again, but many question whether a re-run would be democratic -- or resolve anything.

May has warned that another vote "would do irreparable damage to the integrity of our politics".

It also threatens to be just as divisive as the last one, with opinion polls showing the country is still split over the issue. Brussels also may not be so keen if the delay would simply translate into more months of political gridlock.

General election

It is a long shot but some reports have suggested the prime minister could call a snap vote in a bid to break the impasse.

The most recent polls indicate the Conservatives could win a slender majority, meaning that the political rough-and-tumble seen since the 2016 referendum would likely continue.&nbsp;

The only other way for an election to be called would be for parliament to vote no confidence in the government, but at this stage it looks unlikely as Labour already tried and failed to pass such a vote last month. 
&nbsp;

With Prime Minister Theresa May on Tuesday asking MPs to give her more time for talks with Brussels to renegotiate her Brexit deal, it remains unclear how Britain will leave the European Union.

With Prime Minister Theresa May on Tuesday asking MPs to give her more time for talks with Brussels to renegotiate her Brexit deal, it remains unclear how Britain will leave the European Union. EU officials have ruled out re-opening the withdrawal agreement -- the legally binding part of the Brexit deal -- but British officials are hopeful that some compromise will be found. Three ultimate scenarios remain -- leaving the European Union with a version of the existing deal, crashing out with no deal, or no Brexit at all. Here are five potential next steps: Try to alter the deal MPs last month roundly rejected the deal negotiated by May in the biggest ever parliamentary defeat for a government. The key sticking point is the agreement's "backstop" solution to keep the Irish border open, which has the potential to leave Britain indefinitely tied to some form of EU customs union. Brexit hardliners from the Conservative Party's European Research Group have urged May to try and secure legally-binding changes to the backstop. Northern Ireland's Democratic Unionist Party, which May relies on for a majority in parliament, has also said it will not vote for a deal with the backstop as it stands. The main opposition Labour Party has signalled that it could support the deal if the government commits to a permanent customs union with the EU but May has ruled this out. EU leaders have said they are willing to talk further, including on plans for the future trading relationship, but have repeatedly said they will not reopen the withdrawal agreement itself. No deal Britain is legally on track to leave the EU with or without a deal on March 29, unless it delays or stops the process. Leaving with no deal in place threatens to trigger a recession in Britain and markedly slow the EU's economic growth, as well as causing significant legal disruption. One of the world's biggest economies could lose preferential access to its largest export market overnight, affecting every sector, leading to rising costs and disruption at British ports. Delay Speculation has been growing that the government will instead seek to postpone the Brexit process. Government ministers have spoken of a technical extension but some reports have suggested the delay could be two or three months or even longer. Political analysts argue lawmakers could still back such a postponement further down the line -- although all the other 27 EU countries would have to agree. A potential complication is that elections to the European Parliament are due in late May and the new chamber is set to sit on July 2. Some of Britain's 73 seats have already been reallocated. Brussels also may not be so keen if the delay would simply translate into more months of political gridlock. Second referendum Dozens of MPs are seeking a new referendum to reverse the 2016 result, when the Leave campaign won by 52 per cent to 48 per cent. But supporters admit they do not currently have the numbers in parliament to make it happen. No law prevents Britain from doing it all over again, but many question whether a re-run would be democratic -- or resolve anything. May has warned that another vote "would do irreparable damage to the integrity of our politics". It also threatens to be just as divisive as the last one, with opinion polls showing the country is still split over the issue. Brussels also may not be so keen if the delay would simply translate into more months of political gridlock. General election It is a long shot but some reports have suggested the prime minister could call a snap vote in a bid to break the impasse. The most recent polls indicate the Conservatives could win a slender majority, meaning that the political rough-and-tumble seen since the 2016 referendum would likely continue. The only other way for an election to be called would be for parliament to vote no confidence in the government, but at this stage it looks unlikely as Labour already tried and failed to pass such a vote last month.

Uncertainty over Brexit deal continues as Theresa May asks MPs to give her more time

By Simon Usherwood

A popular view in the UK is that the EU is implacable and immovable on the question of the Brexit backstop. But a more careful reading of statements from senior EU officials and from figures in the member states suggests that there is some room for manoeuvre – albeit within carefully prescribed limits.

The backstop is intended to provide a safety net for arrangements on the UK-Ireland border, should it not be possible to agree on a new relationship between the UK and EU by the end of the Brexit transition period (which stops by December 2022 at the latest). It does this by keeping Northern Ireland closely aligned to EU rules, while also creating a UK-wide customs arrangement, all designed to avoid border controls, for as long as needed to get to that new relationship.

There are three roots to the backstop concept: one principled, one legal and one pragmatic.

The principled motivation is the desire to protect the interests of member states. The value of collective action at a European level comes with a requirement to ensure that no member is disadvantaged in relation to non-members. The fact that the UK is moving from member to non-member status means that the concerns of Dublin will always carry more weight than those of London.

This runs into the legal concern. The EU is a rules-based organisation – it can’t make decisions based on informal or emotive buy-in from its citizens. It must ultimately follow the frameworks it has set for itself. Thus, the obligations of the Good Friday Agreement count for a considerable amount. The same goes for the EU’s own requirements for market integration. It cannot allow access to the single market to a country that won’t commit to the free movement of workers across borders.

Third, World Trade Organisation commitments require checks and controls at the edge of a customs union and a single market. Seen in this light, the backstop is an effort to square the multiple circles of different legal constraints, by creating a structure that removes differences in regulation between the UK and EU. In so doing, the UK will effectively be acting – either as a whole or with part of its territory – as a member of several key EU policies.

All of this is reinforced by the pragmatic aspect: in Brussels, the UK is not seen&nbsp;as a reliable partner, given its endless vacillations over Brexit, in both procedural and substantive terms. The numerous public statements from senior British politicians about their desire to completely change or even tear up the backstop creates the strong impression that the UK’s commitments are less than concrete. This does not create much trust in European capitals, pointing to the need to have binding legal text to pin the UK down.

When UK prime minister Theresa May supported the Brady amendment to her Brexit deal on January 29 and agreed to go back to Brussels to seek changes to the backstop, it merely confirmed for many in the EU that there is a significant danger of discussions on the Irish border poisoning the entire withdrawal agreement.

Stalemate

So, given all this, how could the EU move on this issue? The three roots point towards inflexibility but it is important to recall that the EU is not an enthusiastic supporter of the backstop on its own terms. Instead, it is tolerated as the least worst option, given the constraints. Most obviously, the UK-wide temporary customs arrangement was a substantial concession to the British government, while all involved on the EU side of negotiations have repeatedly stressed their desire to see the backstop used only as a last resort and only until another arrangement can be found.

If another proposal were to be put on the table that satisfied the EU’s various needs – protection of its members’ interests and the integrity of EU policies on trade and regulation – then it would certainly be discussed and considered seriously. However, after two years of research and negotiation, the Commission and member states do not see any viable alternative, given the UK’s stated preference to leave the single market and customs union.

This comes back to the uncertainty over the UK’s intentions. Movement on the preferred form of the future EU-UK relationship (for example, to include participation in a full customs union or in the single market) would be the most obvious factor that could change, affecting the nature and extent of the backstop. But any policy change by the British government would need to be backed by a solid majority in parliament.

And this is the key barrier to EU flexibility. At present, the British political system looks blocked. Concessions on even one part of the backstop might turn out to be the thin end of a thick wedge – Tory backbenchers might feel emboldened to require the government to renegotiate for yet more. Without a clear and definitive line from the UK, the EU is liable to keep its counsel and hold its line.

(Simon Usherwood is Reader in Politics, University of Surrey)

(This article was originally published on The Conversation. Read the <a href="https://theconversation.com/brexit-could-the-eu-really-be-convinced-to-budge-on-the-backstop-111515">original article</a>)

(Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL.)

&nbsp;

By Simon Usherwood A popular view in the UK is that the EU is implacable and immovable on the question of the Brexit backstop. But a more careful reading of statements from senior EU officials and from figures in the member states suggests that there is some room for manoeuvre – albeit within carefully prescribed limits.

By Simon Usherwood A popular view in the UK is that the EU is implacable and immovable on the question of the Brexit backstop. But a more careful reading of statements from senior EU officials and from figures in the member states suggests that there is some room for manoeuvre – albeit within carefully prescribed limits. The backstop is intended to provide a safety net for arrangements on the UK-Ireland border, should it not be possible to agree on a new relationship between the UK and EU by the end of the Brexit transition period (which stops by December 2022 at the latest). It does this by keeping Northern Ireland closely aligned to EU rules, while also creating a UK-wide customs arrangement, all designed to avoid border controls, for as long as needed to get to that new relationship. There are three roots to the backstop concept: one principled, one legal and one pragmatic. The principled motivation is the desire to protect the interests of member states. The value of collective action at a European level comes with a requirement to ensure that no member is disadvantaged in relation to non-members. The fact that the UK is moving from member to non-member status means that the concerns of Dublin will always carry more weight than those of London. This runs into the legal concern. The EU is a rules-based organisation – it can’t make decisions based on informal or emotive buy-in from its citizens. It must ultimately follow the frameworks it has set for itself. Thus, the obligations of the Good Friday Agreement count for a considerable amount. The same goes for the EU’s own requirements for market integration. It cannot allow access to the single market to a country that won’t commit to the free movement of workers across borders. Third, World Trade Organisation commitments require checks and controls at the edge of a customs union and a single market. Seen in this light, the backstop is an effort to square the multiple circles of different legal constraints, by creating a structure that removes differences in regulation between the UK and EU. In so doing, the UK will effectively be acting – either as a whole or with part of its territory – as a member of several key EU policies. All of this is reinforced by the pragmatic aspect: in Brussels, the UK is not seen as a reliable partner, given its endless vacillations over Brexit, in both procedural and substantive terms. The numerous public statements from senior British politicians about their desire to completely change or even tear up the backstop creates the strong impression that the UK’s commitments are less than concrete. This does not create much trust in European capitals, pointing to the need to have binding legal text to pin the UK down. When UK prime minister Theresa May supported the Brady amendment to her Brexit deal on January 29 and agreed to go back to Brussels to seek changes to the backstop, it merely confirmed for many in the EU that there is a significant danger of discussions on the Irish border poisoning the entire withdrawal agreement. Stalemate So, given all this, how could the EU move on this issue? The three roots point towards inflexibility but it is important to recall that the EU is not an enthusiastic supporter of the backstop on its own terms. Instead, it is tolerated as the least worst option, given the constraints. Most obviously, the UK-wide temporary customs arrangement was a substantial concession to the British government, while all involved on the EU side of negotiations have repeatedly stressed their desire to see the backstop used only as a last resort and only until another arrangement can be found. If another proposal were to be put on the table that satisfied the EU’s various needs – protection of its members’ interests and the integrity of EU policies on trade and regulation – then it would certainly be discussed and considered seriously. However, after two years of research and negotiation, the Commission and member states do not see any viable alternative, given the UK’s stated preference to leave the single market and customs union. This comes back to the uncertainty over the UK’s intentions. Movement on the preferred form of the future EU-UK relationship (for example, to include participation in a full customs union or in the single market) would be the most obvious factor that could change, affecting the nature and extent of the backstop. But any policy change by the British government would need to be backed by a solid majority in parliament. And this is the key barrier to EU flexibility. At present, the British political system looks blocked. Concessions on even one part of the backstop might turn out to be the thin end of a thick wedge – Tory backbenchers might feel emboldened to require the government to renegotiate for yet more. Without a clear and definitive line from the UK, the EU is liable to keep its counsel and hold its line. (Simon Usherwood is Reader in Politics, University of Surrey) (This article was originally published on The Conversation. Read the original article) (Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL.)

Brexit: Could the EU really be convinced to budge on the backstop?

<a href="http://www.wionews.com/world/british-cabinet-ministers-believe-pm-may-preparing-to-resign-report-196794">Prime Minister Theresa May</a> will tell British lawmakers on Tuesday to hold their nerve over Brexit to force the European Union to accept changes to the divorce deal that would pave the way for an orderly exit.

The United Kingdom is on course to leave the European Union on March 29 without a deal unless May can convince the bloc to reopen the divorce deal she agreed in November and then sell it to sceptical British lawmakers.

"We now all need to hold our nerve," May will tell lawmakers, according to the BBC. She will say that talks with the EU are at a crucial stage.

The EU has refused to reopen the Brexit divorce deal, though May insists she can get legally binding changes to replace the most contentious parts of the Irish border 'backstop', the main hurdle to a Brexit deal.

As companies and governments across Europe step up preparations for the turmoil of a no-deal exit, diplomats and officials said the United Kingdom now faces three main options: a no-deal exit, a last-minute deal or a delay to Brexit.

Prime Minister Theresa May will tell British lawmakers on Tuesday to hold their nerve over Brexit to force the European Union to accept changes to the divorce deal that would pave the way for an orderly exit.

Prime Minister Theresa May will tell British lawmakers on Tuesday to hold their nerve over Brexit to force the European Union to accept changes to the divorce deal that would pave the way for an orderly exit. The United Kingdom is on course to leave the European Union on March 29 without a deal unless May can convince the bloc to reopen the divorce deal she agreed in November and then sell it to sceptical British lawmakers. "We now all need to hold our nerve," May will tell lawmakers, according to the BBC. She will say that talks with the EU are at a crucial stage. The EU has refused to reopen the Brexit divorce deal, though May insists she can get legally binding changes to replace the most contentious parts of the Irish border 'backstop', the main hurdle to a Brexit deal. As companies and governments across Europe step up preparations for the turmoil of a no-deal exit, diplomats and officials said the United Kingdom now faces three main options: a no-deal exit, a last-minute deal or a delay to Brexit.

'Hold your nerve on Brexit,' PM May to tell British lawmakers

The value of <a href="http://www.wionews.com/world/scotch-whisky-makers-tell-uk-politicians-avoid-no-deal-brexit-185336">Scotch whisky</a> exports rose nearly 8 percent in 2018, backed by booming sales in India, France and the United States and the impact of pricier Scotch, data from Britain's tax authority HMRC showed on Tuesday.

Britain's biggest food and drink export grew 7.8 percent to 4.7 billion pounds ($6.05 billion) last year, with the number of 70 centilitre bottles sold abroad up 3.6 percent to 1.28 billion.

With Britain's exit from the European Union trading bloc due in six weeks, there is still no decision on what the trade rules for British exports will be after that. Producers of Scotland's flagship tipple are particularly worried about sales to the EU which make up about a third of their world market.

Scotch growth in recent years has been driven by demand for single malts, which are made at one distillery and pricier than blended Scotch which is made from mixing one or more whiskies.

Exports of single malts rose 11.3 percent to 1.3 billion pounds.

In volume terms, exports were primarily driven by growth in India, which expanded by 23.1 million to 112.6 million bottles. The United States and France - the world's heaviest Scotch drinker - each grew exports by 9.4 million bottles.

At the same time, exports to Germany and Spain fell by around 10 million and 4.5 million pounds apiece.

"(The) industry does not take continued growth for granted," said Karen Betts, chief executive of the Scotch Whisky Association which represents 90 percent of the producers.

She urged Britain not to leave the EU without a Brexit deal at the end of March.

"We also want to see the UK and EU agree to an open and positive future relationship, which delivers frictionless trade with the EU, and the UK to secure ambitious trading relationships with key markets around the world."

The United States became the first billion-pound export market for Scotch in 2018, growing 7.8 percent to 1.04 billion pounds last year to retain its place as the largest market in the world for Scotch in terms of value.

Britain's trade minister Liam Fox said in response to the data: "My international economic department is focused on turning the UK into an exporting superpower and, as our single largest food and drink export, the success of Scotch whisky overseas is key to this ambition."

The value of Scotch whisky exports rose nearly 8 percent in 2018, backed by booming sales in India, France and the United States and the impact of pricier Scotch, data from Britain's tax authority HMRC showed on Tuesday.

The value of Scotch whisky exports rose nearly 8 percent in 2018, backed by booming sales in India, France and the United States and the impact of pricier Scotch, data from Britain's tax authority HMRC showed on Tuesday. Britain's biggest food and drink export grew 7.8 percent to 4.7 billion pounds ($6.05 billion) last year, with the number of 70 centilitre bottles sold abroad up 3.6 percent to 1.28 billion. With Britain's exit from the European Union trading bloc due in six weeks, there is still no decision on what the trade rules for British exports will be after that. Producers of Scotland's flagship tipple are particularly worried about sales to the EU which make up about a third of their world market. Scotch growth in recent years has been driven by demand for single malts, which are made at one distillery and pricier than blended Scotch which is made from mixing one or more whiskies. Exports of single malts rose 11.3 percent to 1.3 billion pounds. In volume terms, exports were primarily driven by growth in India, which expanded by 23.1 million to 112.6 million bottles. The United States and France - the world's heaviest Scotch drinker - each grew exports by 9.4 million bottles. At the same time, exports to Germany and Spain fell by around 10 million and 4.5 million pounds apiece. "(The) industry does not take continued growth for granted," said Karen Betts, chief executive of the Scotch Whisky Association which represents 90 percent of the producers. She urged Britain not to leave the EU without a Brexit deal at the end of March. "We also want to see the UK and EU agree to an open and positive future relationship, which delivers frictionless trade with the EU, and the UK to secure ambitious trading relationships with key markets around the world." The United States became the first billion-pound export market for Scotch in 2018, growing 7.8 percent to 1.04 billion pounds last year to retain its place as the largest market in the world for Scotch in terms of value. Britain's trade minister Liam Fox said in response to the data: "My international economic department is focused on turning the UK into an exporting superpower and, as our single largest food and drink export, the success of Scotch whisky overseas is key to this ambition."

As Brexit looms, India drives Scotch whisky sales 

<a href="http://www.wionews.com/world/if-huawei-is-co-located-with-american-systems-it-would-be-difficult-for-us-to-partner-pompeo-to-hungary-196791">If Huawei is co-located with American systems, it would be difficult for us to partner: Pompeo to Hungary</a>

US secretary of state Mike Pompeo during his visit to Hungary cautioned the government against Chinese and Russian influence.

Pompeo was particularly insistent on Hungry not allowing Chinese telecom giant Huawei access to 5G network.

<a href="http://www.wionews.com/india-news/delhi-9-dead-as-fire-breaks-out-in-karol-baghs-hotel-196800">Delhi: 9 dead as fire breaks out in Karol Bagh hotel</a>

At least nine people died in a massive fire that broke out in Delhi's Karol Bagh Hotel Arpit Palace early Tuesday morning.

While many others were feared trapped inside the hotel, the authorities rescued around 25 people from the site.

<a href="http://www.wionews.com/world/trump-says-that-its-up-to-the-democrats-if-government-shuts-down-again-196783">It's up to Democrats if </a><a href="http://www.wionews.com/world/trump-says-that-its-up-to-the-democrats-if-government-shuts-down-again-196783">government</a><a href="http://www.wionews.com/world/trump-says-that-its-up-to-the-democrats-if-government-shuts-down-again-196783"> shuts again: Trump</a>

The President of the United States, said Monday that it depends on the Democrats whether there will be a partial government shutdown again this weekend due to lack of funds, as he began a visit to the border with Mexico to continue his campaign in favour of the construction of a wall there.

<a href="http://www.wionews.com/world/british-cabinet-ministers-believe-pm-may-preparing-to-resign-report-196794">British cabinet ministers believe PM May preparing to resign: Report</a>

Cabinet ministers now believe Theresa May is preparing to resign as British Prime Minister this summer so she can influence who succeeds her, The Sun newspaper reported.

<a href="http://www.wionews.com/sports/footballer-sala-killed-by-head-trunk-injuries-inquest-196796">Footballer Emiliano Sala killed by </a><a href="http://www.wionews.com/sports/footballer-sala-killed-by-head-trunk-injuries-inquest-196796">head</a><a href="http://www.wionews.com/sports/footballer-sala-killed-by-head-trunk-injuries-inquest-196796">, trunk injuries: Inquest</a>

Argentine footballer Emiliano Sala died of "head and trunk injuries", an inquest in England heard Monday as it began to examine his death in a plane crash in the sea.

If Huawei is co-located with American systems, it would be difficult for us to partner: Pompeo to Hungary US secretary of state Mike Pompeo during his visit to Hungary cautioned the government against Chinese and Russian influence.

If Huawei is co-located with American systems, it would be difficult for us to partner: Pompeo to Hungary US secretary of state Mike Pompeo during his visit to Hungary cautioned the government against Chinese and Russian influence. Pompeo was particularly insistent on Hungry not allowing Chinese telecom giant Huawei access to 5G network. Delhi: 9 dead as fire breaks out in Karol Bagh hotel At least nine people died in a massive fire that broke out in Delhi's Karol Bagh Hotel Arpit Palace early Tuesday morning. While many others were feared trapped inside the hotel, the authorities rescued around 25 people from the site. It's up to Democrats if government shuts again: Trump The President of the United States, said Monday that it depends on the Democrats whether there will be a partial government shutdown again this weekend due to lack of funds, as he began a visit to the border with Mexico to continue his campaign in favour of the construction of a wall there. British cabinet ministers believe PM May preparing to resign: Report Cabinet ministers now believe Theresa May is preparing to resign as British Prime Minister this summer so she can influence who succeeds her, The Sun newspaper reported. Footballer Emiliano Sala killed by head, trunk injuries: Inquest Argentine footballer Emiliano Sala died of "head and trunk injuries", an inquest in England heard Monday as it began to examine his death in a plane crash in the sea.

News brief: Big stories of the day

Cabinet ministers now believe Theresa May is preparing to resign as British Prime Minister this summer so she can influence who succeeds her, The Sun newspaper reported.

May has rejected the idea of targeting a customs union with the European Union, pouring cold water on hopes from some that she could shift her Brexit policy to win over the opposition Labour Party.

Britain is due to leave the EU on March 29 but has yet to find a deal which is acceptable to both Brussels and lawmakers at home, raising the prospect of a disorderly exit that could damage the world's fifth largest economy.

Meanwhile, Defence minister Gavin Williamson on Monday said in a speech that Britain will use military force to support its interests after Brexit.

Williamson outlined plans to send Britain's new aircraft carrier to the Pacific, where London has been seeking to demonstrate its influence in relation to China, and invest his defence budget in new equipment and cyber capabilities.

(With inputs from Reuters)

Cabinet ministers now believe Theresa May is preparing to resign as British Prime Minister this summer so she can influence who succeeds her, The Sun newspaper reported.

Cabinet ministers now believe Theresa May is preparing to resign as British Prime Minister this summer so she can influence who succeeds her, The Sun newspaper reported. May has rejected the idea of targeting a customs union with the European Union, pouring cold water on hopes from some that she could shift her Brexit policy to win over the opposition Labour Party. Britain is due to leave the EU on March 29 but has yet to find a deal which is acceptable to both Brussels and lawmakers at home, raising the prospect of a disorderly exit that could damage the world's fifth largest economy. Meanwhile, Defence minister Gavin Williamson on Monday said in a speech that Britain will use military force to support its interests after Brexit. Williamson outlined plans to send Britain's new aircraft carrier to the Pacific, where London has been seeking to demonstrate its influence in relation to China, and invest his defence budget in new equipment and cyber capabilities. (With inputs from Reuters)

British cabinet ministers believe PM May preparing to resign: Report

There are 46 days to go until the United Kingdom is set to exit the European Union and the secretary of state for international trade has on Monday signed the country's first bilateral trade deal for a <a href="http://www.wionews.com/world/post-brexit-britain-ready-to-use-hard-power-defence-minister-196748">post-Brexit commercial relationship</a>.

Liam Fox penned the agreement on behalf of the UK with Swiss Federal Councilor Guy Parmelin, in Bern, Switzerland, allowing for business to flow as usual and, due to the alpine country's existing treaties, the agreement also applies to Liechtenstein.

“Switzerland is one of the most valuable trading partners that we are seeking continuity for, accounting for more than 32 billion pounds worth of trade a year," Fox said. “This is of huge economic importance to UK businesses so I’m delighted to be here in Bern today, ensuring continuity for 15,000 British exporters," Fox added.

The deal, which is described as a trade continuity agreement, aims to guarantee trading terms between the two countries once the UK has left the EU.

Currently, the UK trades with Switzerland and Liechtenstein by relying on EU agreements.

The arrangement was designed to remove the threat of extra tariffs levied on trade between the countries and to avoid the likelihood of additional duties on a "vast majority" of goods, Fox said.

“Not only will this help to support jobs throughout the UK but it will also be a solid foundation for us to build an even stronger trading relationship with Switzerland as we leave the EU,” Fox said.

For Switzerland, the UK is the sixth-largest export market (10 billion euros in 2017) and the eighth-largest in the import market (5.2 billion euros), according to Swiss official figures.

The arrangement should avoid around 8 million pounds of tariffs being added to the price of cars exported from the UK to Switzerland, while UK purchasers should benefit from cheaper prices on Swiss goods, "such as clocks, watches and pharmaceutical products," Fox said.

Trading on such so-called "preferential terms" instead of falling back on those applicable through the World Trade Organization should "deliver significant savings and help to safeguard British jobs," the UK government has said.

According to Swiss official statistics, Switzerland is the EU’s fifth most important trading partner, only after the United States, China, Hong Kong and the United Arab Emirates.

There are 46 days to go until the United Kingdom is set to exit the European Union and the secretary of state for international trade has on Monday signed the country's first bilateral trade deal for a post-Brexit commercial relationship.

There are 46 days to go until the United Kingdom is set to exit the European Union and the secretary of state for international trade has on Monday signed the country's first bilateral trade deal for a post-Brexit commercial relationship. Liam Fox penned the agreement on behalf of the UK with Swiss Federal Councilor Guy Parmelin, in Bern, Switzerland, allowing for business to flow as usual and, due to the alpine country's existing treaties, the agreement also applies to Liechtenstein. “Switzerland is one of the most valuable trading partners that we are seeking continuity for, accounting for more than 32 billion pounds worth of trade a year," Fox said. “This is of huge economic importance to UK businesses so I’m delighted to be here in Bern today, ensuring continuity for 15,000 British exporters," Fox added. The deal, which is described as a trade continuity agreement, aims to guarantee trading terms between the two countries once the UK has left the EU. Currently, the UK trades with Switzerland and Liechtenstein by relying on EU agreements. The arrangement was designed to remove the threat of extra tariffs levied on trade between the countries and to avoid the likelihood of additional duties on a "vast majority" of goods, Fox said. “Not only will this help to support jobs throughout the UK but it will also be a solid foundation for us to build an even stronger trading relationship with Switzerland as we leave the EU,” Fox said. For Switzerland, the UK is the sixth-largest export market (10 billion euros in 2017) and the eighth-largest in the import market (5.2 billion euros), according to Swiss official figures. The arrangement should avoid around 8 million pounds of tariffs being added to the price of cars exported from the UK to Switzerland, while UK purchasers should benefit from cheaper prices on Swiss goods, "such as clocks, watches and pharmaceutical products," Fox said. Trading on such so-called "preferential terms" instead of falling back on those applicable through the World Trade Organization should "deliver significant savings and help to safeguard British jobs," the UK government has said. According to Swiss official statistics, Switzerland is the EU’s fifth most important trading partner, only after the United States, China, Hong Kong and the United Arab Emirates.

UK secures first trade deal 963 days after Brexit vote with Switzerland

British Prime Minister Theresa May told her top team of ministers on Tuesday that parliament would not be asked to vote on a revised <a href="http://www.wionews.com/world/we-must-hold-our-nerve-on-brexit-may-to-tell-uk-lawmakers-196941">Brexit deal</a> this week as she needed more time to negotiate with the European Union, her office said.

May is seeking changes to the deal she agreed with the bloc last year, after lawmakers rejected it largely due to concerns over an insurance policy aimed at avoiding the return of border controls on the island of Ireland.

"She said it is clear that these discussions with the EU will need a little more time to conclude and so we will not be bringing forward a meaningful vote this week," a spokeswoman for May's office said in a statement following May's weekly meeting with her cabinet of ministers.

British Prime Minister Theresa May told her top team of ministers on Tuesday that parliament would not be asked to vote on a revised Brexit deal this week as she needed more time to negotiate with the European Union, her office said.

British Prime Minister Theresa May told her top team of ministers on Tuesday that parliament would not be asked to vote on a revised Brexit deal this week as she needed more time to negotiate with the European Union, her office said. May is seeking changes to the deal she agreed with the bloc last year, after lawmakers rejected it largely due to concerns over an insurance policy aimed at avoiding the return of border controls on the island of Ireland. "She said it is clear that these discussions with the EU will need a little more time to conclude and so we will not be bringing forward a meaningful vote this week," a spokeswoman for May's office said in a statement following May's weekly meeting with her cabinet of ministers.

UK parliament will not vote on revised Brexit deal this week: PM May's office

Prime Minister Theresa&nbsp;May&nbsp;on Tuesday will plead&nbsp;with MPs to give her more time for talks with EU officials on her Brexit deal, <a href="http://www.wionews.com/world/hold-your-nerve-on-brexit-pm-may-to-tell-british-lawmakers-196877">telling them they must hold their nerve</a>.

May&nbsp;is set to update parliament on her latest meetings in Brussels and Dublin aimed at securing a divorce agreement with the EU, with Britain due to leave the bloc on March 29.

"The talks are at a crucial stage,"&nbsp;May&nbsp;will say, according to extracts from her statement to parliament released in advance by her Downing Street office.

MPs last month overwhelmingly rejected the deal struck between&nbsp;May&nbsp;and Brussels and the British premier has since been attempting to secure changes that would satisfy parliament's lower House of Commons.

Brexiteer MPs in her Conservative Party are particularly unhappy with the so-called backstop provision intended to keep the border with Ireland free-flowing.

Some fear it could leave Britain trapped in the European Union's trade rules with no unilateral way out -- but would back a deal if the backstop was time-limited or replaced with alternative arrangements.

"We now all need to hold our nerve to get the changes this house has required and deliver Brexit on time,"&nbsp;May&nbsp;is due to tell MPs.

"By getting the changes we need to the backstop; by protecting and enhancing workers' rights and environmental protections; and by enhancing the role of parliament in the next phase of negotiations I believe we can reach a deal that this house can support."

Plea for time

Commons Leader Andrea said on BBC radio that&nbsp;May&nbsp;was not simply "running down the clock" until March 29. &nbsp;

"What the prime minister wants is a bit more time," she said.

She said&nbsp;May&nbsp;would promise MPs they could hold a series of votes on February 27 in an attempt to influence her Brexit strategy if she has not agreed a new deal by then.

Leadsom, responsible for bringing government business through parliament, said the talks were "pretty crucial but delicate negotiations with the EU to try to make sure that we can sort out the problem with an unlimited backstop".

"It would be an extraordinary outcome if the thing that the backstop is seeking to avoid, which is a hard border in Northern Ireland, if the EU were so determined to be completely intransigent about it that they actually incur the very thing that they're seeking to avoid by pushing the UK into a position where we leave without a deal."

Brexit Secretary Stephen Barclay and David Lidington,&nbsp;May's de facto deputy, are in Strasbourg meeting members of the European Parliament, while British Foreign Secretary Jeremy Hunt is in Paris as part of a diplomatic offensive.

The EU's chief Brexit negotiator Michel Barnier has called for "clarity and movement" from Britain.

In an effort to break the impasse, Barclay hosted Barnier for a working dinner at the British ambassador's residence in Brussels late Monday, with concern growing on both sides of the Channel.

Speaking afterwards, Barnier said the talks had been "constructive".

"We are clear from our side that we are not going to reopen the withdrawal agreement, but we will continue our discussion in the coming days," he told journalists.

Prime Minister Theresa May on Tuesday will plead with MPs to give her more time for talks with EU officials on her Brexit deal, telling them they must hold their nerve.

Prime Minister Theresa May on Tuesday will plead with MPs to give her more time for talks with EU officials on her Brexit deal, telling them they must hold their nerve. May is set to update parliament on her latest meetings in Brussels and Dublin aimed at securing a divorce agreement with the EU, with Britain due to leave the bloc on March 29. "The talks are at a crucial stage," May will say, according to extracts from her statement to parliament released in advance by her Downing Street office. MPs last month overwhelmingly rejected the deal struck between May and Brussels and the British premier has since been attempting to secure changes that would satisfy parliament's lower House of Commons. Brexiteer MPs in her Conservative Party are particularly unhappy with the so-called backstop provision intended to keep the border with Ireland free-flowing. Some fear it could leave Britain trapped in the European Union's trade rules with no unilateral way out -- but would back a deal if the backstop was time-limited or replaced with alternative arrangements. "We now all need to hold our nerve to get the changes this house has required and deliver Brexit on time," May is due to tell MPs. "By getting the changes we need to the backstop; by protecting and enhancing workers' rights and environmental protections; and by enhancing the role of parliament in the next phase of negotiations I believe we can reach a deal that this house can support." Plea for time Commons Leader Andrea said on BBC radio that May was not simply "running down the clock" until March 29. "What the prime minister wants is a bit more time," she said. She said May would promise MPs they could hold a series of votes on February 27 in an attempt to influence her Brexit strategy if she has not agreed a new deal by then. Leadsom, responsible for bringing government business through parliament, said the talks were "pretty crucial but delicate negotiations with the EU to try to make sure that we can sort out the problem with an unlimited backstop". "It would be an extraordinary outcome if the thing that the backstop is seeking to avoid, which is a hard border in Northern Ireland, if the EU were so determined to be completely intransigent about it that they actually incur the very thing that they're seeking to avoid by pushing the UK into a position where we leave without a deal." Brexit Secretary Stephen Barclay and David Lidington, May's de facto deputy, are in Strasbourg meeting members of the European Parliament, while British Foreign Secretary Jeremy Hunt is in Paris as part of a diplomatic offensive. The EU's chief Brexit negotiator Michel Barnier has called for "clarity and movement" from Britain. In an effort to break the impasse, Barclay hosted Barnier for a working dinner at the British ambassador's residence in Brussels late Monday, with concern growing on both sides of the Channel. Speaking afterwards, Barnier said the talks had been "constructive". "We are clear from our side that we are not going to reopen the withdrawal agreement, but we will continue our discussion in the coming days," he told journalists.

May to ask MPs for more time on Brexit talks

Britain <a href="http://www.wionews.com/business-economy/no-deal-brexit-could-cost-600000-jobs-worldwide-study-196733">will use military force to support its interests after Brexit</a>, defence minister Gavin Williamson said on Monday, in a speech setting out a global role for the armed forces but with little detail on how to fund such ambitions in the long term.

Williamson outlined plans to send Britain's new aircraft carrier to the Pacific, where London has been seeking to demonstrate its influence in relation to China, and invest his defence budget in new equipment and cyber capabilities.

Citing Russia as a danger to the international order, Williamson called for a tougher military stance after Brexit.

"Brexit has brought us to a great moment in our history. A moment when we must strengthen our global presence, enhance our lethality, and increase our mass," he said.

He said boundaries between peace and war were becoming "blurred" by the increasing use of technological warfare, subversion and propaganda, and that Britain and its allies had to be ready "to use hard power to support our global interests".

The opposition Labour Party accused him of "sabre rattling".

In his speech in London, Williamson did not announce any new funding beyond what was allocated at a 2018 budget.

Britain spends around 36 billion pounds ($46.45 billion) per year on defence - the seventh largest sum globally, measured in dollar prices in 2017, according to the Stockholm International Peace Research Institute. That budget is dwarfed by those at the top of the list, with the United States spending 13 times more and China spending five times more.

Brexit has brought on Britain's biggest political crisis since World War Two as Prime Minister Theresa May scrambles to find a last-minute agreement on the terms of withdrawal from the EU, due to take place on March 29. Brexit supporters say the decision to leave the EU will provide a chance for Britain to take on a new global role. Opponents describe it as a blow both to Britain's influence and to the West as a whole.

"We will build new alliances, rekindle old ones and most importantly make it clear that we are the country that will act when required. We should be the nation that people can turn to when the world needs leadership," Williamson said.

He announced that the first mission of the HMS Queen Elizabeth aircraft carrier will include work in the Mediterranean, Middle East and Pacific regions, and the vessel would carry two squadrons of British and US&nbsp;F-35 jets.

In August a different British warship sailed close to the Paracel Islands claimed by China in the South China Sea, prompting fury in Beijing.

PAPER TIGER

Williamson has previously lobbied successfully for more defence funding. Nevertheless, the armed forces face a long-term budget shortfall estimated by a parliamentary committee to reach 15 billion pounds over the next decade.

Williamson highlighted close US-UK military links and echoed Trump's call for NATO countries to increase spending, citing a need to better confront Russia.

Britain is one of only a handful of NATO countries who meet the alliance's target to spend 2 percent of output on defence. It was Washington's main battlefield ally in the wars in Iraq and Afghanistan, with more than 600 troops killed.

Without citing specific examples, Williamson warned that the cost of non-interventions had often been "unacceptably high" and said that Western powers cannot ignore those in need.

“To talk but fail to act risks our nation being seen as little more than a paper tiger,” he said.

Britain will use military force to support its interests after Brexit, defence minister Gavin Williamson said on Monday, in a speech setting out a global role for the armed forces but with little detail on how to fund such ambitions in the long term.

Britain will use military force to support its interests after Brexit, defence minister Gavin Williamson said on Monday, in a speech setting out a global role for the armed forces but with little detail on how to fund such ambitions in the long term. Williamson outlined plans to send Britain's new aircraft carrier to the Pacific, where London has been seeking to demonstrate its influence in relation to China, and invest his defence budget in new equipment and cyber capabilities. Citing Russia as a danger to the international order, Williamson called for a tougher military stance after Brexit. "Brexit has brought us to a great moment in our history. A moment when we must strengthen our global presence, enhance our lethality, and increase our mass," he said. He said boundaries between peace and war were becoming "blurred" by the increasing use of technological warfare, subversion and propaganda, and that Britain and its allies had to be ready "to use hard power to support our global interests". The opposition Labour Party accused him of "sabre rattling". In his speech in London, Williamson did not announce any new funding beyond what was allocated at a 2018 budget. Britain spends around 36 billion pounds ($46.45 billion) per year on defence - the seventh largest sum globally, measured in dollar prices in 2017, according to the Stockholm International Peace Research Institute. That budget is dwarfed by those at the top of the list, with the United States spending 13 times more and China spending five times more. Brexit has brought on Britain's biggest political crisis since World War Two as Prime Minister Theresa May scrambles to find a last-minute agreement on the terms of withdrawal from the EU, due to take place on March 29. Brexit supporters say the decision to leave the EU will provide a chance for Britain to take on a new global role. Opponents describe it as a blow both to Britain's influence and to the West as a whole. "We will build new alliances, rekindle old ones and most importantly make it clear that we are the country that will act when required. We should be the nation that people can turn to when the world needs leadership," Williamson said. He announced that the first mission of the HMS Queen Elizabeth aircraft carrier will include work in the Mediterranean, Middle East and Pacific regions, and the vessel would carry two squadrons of British and US F-35 jets. In August a different British warship sailed close to the Paracel Islands claimed by China in the South China Sea, prompting fury in Beijing. PAPER TIGER Williamson has previously lobbied successfully for more defence funding. Nevertheless, the armed forces face a long-term budget shortfall estimated by a parliamentary committee to reach 15 billion pounds over the next decade. Williamson highlighted close US-UK military links and echoed Trump's call for NATO countries to increase spending, citing a need to better confront Russia. Britain is one of only a handful of NATO countries who meet the alliance's target to spend 2 percent of output on defence. It was Washington's main battlefield ally in the wars in Iraq and Afghanistan, with more than 600 troops killed. Without citing specific examples, Williamson warned that the cost of non-interventions had often been "unacceptably high" and said that Western powers cannot ignore those in need. “To talk but fail to act risks our nation being seen as little more than a paper tiger,” he said.

Post-Brexit Britain ready to use 'hard power': Defence minister

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