Theresa May’s Chequers plan will need to “reworked” in key areas including on future trade relations and on the question of the Irish border, the president of the European Council has said.

Speaking ahead of an informal European Council meeting in Salzburg, Donald Tusk said Brexit talks were now entering “a decisive phase” - and that Mrs May's proposed deal already showed a "positive evolution of the UK's approach".

It comes after Michel Barnier, the EU's chief negotiator, said the EU is "ready to improve" its offer on the Irish border.

On Tuesday, Mr Barnier showed he was willing to rethink his position on the “backstop” proposal for Northern Ireland.

Mr Barnier said he was keen to “de-dramatise” the goods checks which would be needed and make most of them away from the border.

“We are clarifying which goods arriving into Northern Ireland from the rest of the UK would need to be checked, and where, when and by whom.

“We can also clarify that most checks can take place away from the border, at the company premises or in the market.”

It comes as David Davis, the former Brexit Secretary, said the EU is “softening” on its stance on Northern Ireland, and are starting to accept methods of checks away from the border which it “refused to accept six months ago”.