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Labour has called on David Davis to hold "emergency Brexit talks" in the wake of the negotiation deadlock.

Michel Barnier said the fifth round of talks had not taken any “great steps forward” and said not enough progress has been made for talks to switch to a future trade deal, as the UK hoped, when a crunch EU Council showdown takes place in Brussels next week.

Mr Barnier said that on the divorce bill " we have reached a state of deadlock which is very disturbing for thousands of project promoters in Europe and it’s disturbing also for taxpayers.”

Labour's Keir Starmer MP has said the government "must drop the ideological red lines" when it comes to their financial contribution.

Mr Starmer has said the government should "work round the clock to find a resolution to the current situation".

He accused the Tories of wasting "months of the Brexit talks fighting amongst themselves".

He has written to David Davis calling on him urgently to request an additional emergency round of talks to try and reach an agreement with EU negotiators before next week’s crucial EU Council meeting.

Mr Starmer said the Tories' failure to compromise: "i ncreases the chances that Britain will crash out of the EU without a deal. That would be catastrophic for jobs and living standards and must be rejected as a viable option."

(Image: AFP)

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Full text of the letter:

Dear David

Article 50 negotiations between the United Kingdom and the European Union

I write regarding the Article 50 negotiations between the UK Government and the European Union (EU) following today’s press conference.

The announcement of further progress on the rights of EU citizens and the issue of Northern Ireland is welcome. It is also encouraging to see a more constructive tone in the talks.

However, I am deeply concerned that more than six months on from the triggering of Article 50 this round of discussions has ended without an agreement, with the European Union warning of a “disturbing deadlock” over the divorce settlement. It now looks likely that the EU Council next week will not be able to agree negotiations have proceeded sufficiently to open up trade talks.

(Image: PA)

The deadlock in negotiations increases the risk of Britain crashing out of the EU without a deal. That would be catastrophic for jobs and living standards and must be rejected as a viable option.

That is why Labour is calling on the Government urgently to request an additional emergency round of talks with EU negotiators in the coming days to try and reach an agreement before next week’s EU Council meeting. The Government must recognise the gravity of the situation, must drop the ideological red lines and work round the clock to find a resolution to the current situation.

Given the significant interest in this matter, I am making this letter public.

Yours sincerely

Keir Starmer MP

Shadow Secretary of State for Exiting the European Union