Downing Street sources have played down reports that the UK is prepared to pay a divorce bill of up to £36bn to try and force progress in stalled Brexit talks.

The figure amounting to some €40bn would be offered in a bid to push discussions on from withdrawal and towards a future trade deal, according to reports.

Theresa May is expected to give a speech towards the end of the summer fleshing out details of any offer to Brussels, while a series of papers are expected in coming weeks on how the UK proposes to manage a transition.

A Number 10 official told The Independent that reports the Government was preparing to offer the EU payments of €10bn every year for up to three years after Brexit were “highly speculative and wrong”.

It was claimed on Sunday that the commitment to the ongoing budget payments would then be supplemented with additional money to make up the €40bn figure that UK negotiators hope will break the deadlock in talks.

The Sunday Telegraph quoted a Whitehall source saying: “We know that [the EU’s] position is €60bn, but the actual bottom line is €50bn.

“Ours is closer to €30bn, but the landing zone is €40bn even if the public and politicians are not all there yet.”

In pictures: European parliament Brexit discussions Show all 12 1 /12 In pictures: European parliament Brexit discussions In pictures: European parliament Brexit discussions European commission member in charge of Brexit negotiations with Britain, French Michel Barnier listens at the President of the European Commission Jean-Claude Juncker speaking at the European Parliament in Strasbourg Getty Images In pictures: European parliament Brexit discussions Frank-Walter Steinmeier, President of the Federal Republic of Germany, delivers his speech at the European Parliament in Strasbourg EPA In pictures: European parliament Brexit discussions European Union's chief Brexit negotiator Guy Verhofstadt, President of the Group of the Alliance of Liberals and Democrats for Europe (ALDE), addresses the European Parliament during a debate on Brexit priorities and the upcomming talks on the UK's withdrawal from the EU Reuters In pictures: European parliament Brexit discussions Michel Barnier, European Chief Negotiator for Brexit reacts during a meeting at the European Parliament in Strasbourg EPA In pictures: European parliament Brexit discussions Member of the European Parliament and former leader of the anti-EU UK Independence Party (UKIP) Nigel Farage wears socks with Union Jack flag at the European Parliament in Strasbourg Getty Images In pictures: European parliament Brexit discussions Nigel Farage, United Kingdom Independence Party (UKIP) member and MEP, addresses the European Parliament during a debate on Brexit priorities and the upcoming talks on the UK's withdrawal from the EU Reuters In pictures: European parliament Brexit discussions European commission member in charge of Brexit negotiations with Britain, French Michel Barnier gestures during speeches at the European Parliament in Strasbourg Getty In pictures: European parliament Brexit discussions The President of the European Commission Jean-Claude Juncker (L) speaks with European commission member in charge of Brexit negotiations with Britain, French Michel Barnier at the European Parliament in Strasbourg Getty In pictures: European parliament Brexit discussions European Union's chief Brexit negotiator Guy Verhofstadt, President of the Group of the Alliance of Liberals and Democrats for Europe (ALDE), addresses the European Parliament during a debate on Brexit priorities and the upcomming talks on the UK's withdrawal from the EU Reuters In pictures: European parliament Brexit discussions Member of the European Parliament and former leader of the anti-EU UK Independence Party (UKIP) Nigel Farage gestures during speeches at the European Parliament in Strasbourg, eastern France, on April 5, 2017. The European Parliament will on April 5 lay down its "red lines" for negotiations over a Brexit deal, on which the assembly will have the final say in two years' time. / AFP PHOTO / Sebastien BozonSEBASTIEN BOZON/AFP/Getty Images Getty In pictures: European parliament Brexit discussions German president Frank-Walter Steinmeier delivers a speech during a plenary session at the European Parliament in Strasbourg Getty In pictures: European parliament Brexit discussions The European Parliament in Strasbourg, eastern France Getty Images

Brexit Secretary David Davis and Ms May have both said that the Government would work with Brussels to determine a fair settlement of the UK's “rights and obligations”.

News of the figure will be controversial among some Conservative MPs who believe the UK should not pay as much, or anything at all. Just three weeks ago Foreign Secretary Boris Johnson said EU leaders could “go whistle” if they expected Britain to pay an “exorbitant” divorce bill.

Conservative MP Peter Bone said a £36bn Brexit fee is unlikely to get through Parliament.

He added: “One of the prime reasons the UK voted to leave the EU was to stop sending them billions of pounds per year, so it would be totally bizarre to give the EU any money, let alone £36 billion, given also that over the years that we have been in the EU or its predecessor we have given them, net, over £200 billion.

“So if there was going to be any transfer of money then it should be from the EU to the UK.”

Jacob Rees-Mogg, MP for North East Somerset, said: “There is no logic to this figure, legally we owe nothing.”

Michel Barnier seeks clarification over key issues in Brexit talks

Former Cabinet minister John Redwood told LBC Radio it was “completely ridiculous” to suggest the UK would have to pay to get Brussels to talk about trade because the EU "desperately" needed a deal.

But the European Union’s chief Brexit negotiator Michel Barnier warned it is “very unlikely” talks can progress in October as planned if there is not better progress.

Ms May is preparing to give a speech close to the start of September in which she is expected to spell out details of the EU withdrawal agreement including a divorce bill.

Positioning papers on how the UK might manage customs arrangements during a transition and the issue of the border between Ireland and Northern Ireland are expected as early as next week.