Theresa May is set to offer the European Union a bigger ‘divorce bill’ payment in the hope of breaking through to the crucial trade stage of the negotiations.
Following a key meeting on Monday at Downing Street, May is reportedly ready to increase the UK’s offer to around £38bn.
The increase has been signed off by key Cabinet ministers during a meeting of the Exit and Trade (Strategy and Negotiations) sub-committee.
The Prime Minister is expected to put the increased figure to Donald Tusk when they meet in Brussels on Friday, with the condition that Britain will only pay this fee if the EU agrees to advance the Brexit talks.
A source at Downing Street has attempted to play down the speculation by saying nothing is agreed until it is settled in negotiations, adding that the UK and the EU needed to “step forward together.”
The Prime Minister remains clear the UK will honour all commitments it has previously made.