Theresa May arrives for the European Union leaders summit at the European Council in Brussels

European leaders have formally agreed to move to the next stage of the Brexit negotiations after deeming “sufficient progress” has been made on key issues.

It now provides Theresa May with the green light to discuss “transitional arrangements” with the EU 27 and the overall framework for the future relationship.

Announcing the breakthrough at a news conference, the European Commission President Donald Tusk also said “congratulations” to the Prime Minister on the new progress.

After meeting with her EU counterparts on Thursday, Ms May flew back to the UK in the evening after attending the EU summit, where she spoke over dinner of her wish to move to the next stage of the talks.

European Commission President Jean-Claude Juncker said the applause came because “some of us felt, including me, that she did make a big effort and this has to be recognised”.

Back in her constituency on Friday, Ms May declared she is “well on the road” to delivering Brexit after the crucial agreement was formally reached.

She said Britain would be “beginning the talks about our future relationship straight away”, adding: “There is still more to do but we are well on the road to delivering a Brexit that will make Britain strong, prosperous and secure.”