There is "no point" in Michel Barnier travelling to London on Monday for planned Brexit talks, Downing Street has said, after Boris Johnson said negotiations were over - unless Brussels adopted a "fundamental change of approach".
With the October 15 deadline for agreement missed, Boris Johnson last week warned businesses to "get ready" for leaving without a deal after concluding that the EU's demands meant there was no point continuing talks.
But Michael Gove, one of his senior ministers, struck a more conciliatory tone on Sunday, saying the door was still ajar to a deal if the bloc was willing to compromise.
Rather than holding "all the cards", the Brexiteer instead said the United Kingdom holds some cards, and accused European Union officials of not being serious about making compromises and said they would have to back down if chief negotiator Michel Barnier is to resume negotiations in London this week.
Moody's said Britain's growth had been "meaningfully weaker than expected and is likely to remain so in the future".
The insider said the European Council had published their conclusions about talks that took place on Thursday before the discussions had even been completed.
Issues still to be resolved include fair competition rules, dispute resolution and fisheries.
"The ball is in his court", he said.
More than 70 British business groups representing over seven million workers yesterday urged politicians to get back to the negotiating table this week and strike a Brexit deal.
UK’s chief Brexit negotiator Lord Frost
"We are ready for a deal, but not at any price", he said last Friday.
A "no deal" finale to the United Kingdom's five-year Brexit crisis would disrupt the operations of manufacturers, retailers, farmers and almost every other sector - just as the economic hit from the coronavirus pandemic worsens.
Mr Johnson had previously said that he would walk away from the negotiations if there was no agreement on a deal by the time of this week's European Union summit in Brussels.
"The steps that business needs to take whether or not we have a Canada-style free trade agreement or we leave on Australian terms are very similar and. business has risen to that challenge in a very pragmatic way".
A tumultuous "no deal" finale to the United Kingdom's five-year Brexit crisis would sow chaos through the delicate supply chains that stretch across Britain, the European Union and beyond - just as the economic hit from the coronavirus pandemic worsens.
"Make no mistake, there are changes coming in just 75 days and time is running out for businesses to act", Gove said.
He told Sky's Sophy Ridge on Sunday that the chances of getting a deal are "less" than the 66% he had previously predicted.
"With compromise and tenacity, a deal can be done".
Led by Archbishop of Canterbury Justin Welby, they said the UK Internal Market Bill has "enormous moral, as well as political and legal, consequences" by paving the way for a breach of worldwide law by overriding parts of the Withdrawal Agreement with Brussels.