The Government is considering continuing paying some contributions to the EU in order to maintain "passporting rights" to allow City firms to continue trading across the continent, it has been claimed.

A report by the Financial Times suggests that Theresa May's Cabinet is discussing the move which would amount to a "softer" Brexit.

It comes after Mrs May reassured Japanese car maker Nissan on Friday that the trading conditions for its Sunderland car plant would remain unchanged post-Brexit, in a further sign that she will protect certain sectors from any impact from an EU departure.