Theresa May urged to axe Brexit talks with Labour after they demand second referendum
Keir Starmer claimed any compromise deal on Brexit would need a second referendum
THERESA May was today urged to pull out of Brexit talks with Labour after the party demanded a second referendum.
Shadow Brexit Secretary Keir Starmer insisted a so-called "people's vote" would be the price of any deal between the two main parties.
Top Tories from both sides of the Brexit divide warned the PM the negotiations are now doomed to failure.
Brexiteer Nigel Evans blasted: "Time for Theresa to walk away from talks - confirmatory referendum on a rejected deal which leads to remaining in EU is a total betrayal of the people’s vote.
"These talks have been a complete waste of time - negotiating Brexit with a party which wants to stop Brexit!"
Tom Pursglove added: "These 'talks' should be called off and we should just get on and leave. No fudge. No more delay. Just leave."
Within the Cabinet, pro-Remain ministers are said to have asked the PM to scrap talks with Labour.
Instead the likes of Philip Hammond and Damian Hinds want Mrs May to hand the decision to Parliament, giving MPs a binding vote on the whole range of different Brexit outcomes.
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Last night Sir Keir, who is leading the Labour team in the Brexit talks, called for a second EU referendum.
It's the first time Jeremy Corbyn's negotiators have openly demanded a public vote on any compromise agreed with the Tories.
The shadow minister : "I’ve made it clear that at this stage, at this 11th hour, any deal that comes through from this Government ought to be subject to the lock of a confirmatory vote."
He claimed Labour MPs would refuse to support the cross-party deal without a referendum tagged on.
What happens next if Brexit talks break down?
THERESA May opened Brexit talks with Labour in desperation after being forced to agree a delay to our EU exit.
She insisted she had no choice but to negotiate with the opposition, having repeatedly failed to get enough of her own MPs on board to pass a deal.
But the talks are now on the brink of collapse after deadlock over the key issues of whether to stay in the EU customs union, and whether to hold a second referendum.
The Tories initially set last Wednesday as the deadline for negotiations to conclude and they are unlikely to continue beyond this week.
Assuming the talks do break down for good, Mrs May has pledged to hold a fresh round of Commons votes on all the possible Brexit outcomes.
Unlike the previous "indicative votes", the motions would be binding with the Government agreeing to deliver whichever option won.
But the risk would be that - just as with the indicative votes - MPs could be so divided that no motion gets a majority.
If the process fails, another option for the PM is to bring back her existing deal for a fourth vote in Parliament.
To get round John Bercow's ban on holding multiple votes on the same issue, it would take the form of a Withdrawal Agreement Bill enshrining the deal into legislation.
Mrs May hopes that the rise of Nigel Farage would prod Tory rebels and Labour backbenchers into joining her side so the Commons can finally deliver on Brexit.
Today deputy leader Tom Watson backed Sir Keir, saying Labour is "the Remain and reform party".
But Housing Secretary James Brokenshire told the BBC: "Keir is obviously setting out a slightly different message to the core message the Labour party's been giving about a second referendum.
"These talks are about how we give effect to leaving the EU, not somehow reopening the debate all over again."
Jeremy Hunt hit out at the idea of a second referendum, saying: "We've always said that this would be a betrayal of what people voted for and we want to deliver on the first referendum."
And Labour MP Stephen Kinnock warned against his own party bringing the talks down, saying: "What would be a real shame is if the talks are failing because they are being torpedoed by an additional red line that Labour is bringing in around a second referendum."
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Talks between Labour and the Tories began last month after Brexit was delayed until October 31.
But they are seen as unlikely to make headway because of Labour's demand to keep Britain in the customs union.
Tory minister Tobias Ellwood blasted today: "Labour haven't been very clear what they want, they just want to sow confusion."
Delaying Brexit again would harm British businesses, Bank of England warns
DELAYING Brexit is damaging British businesses, a top Bank of England boss warned today.
Deputy governor Ben Broadbent said pushing back the EU exit deadline again would plunge firms into fresh uncertainty.
And he suggested that if a Brexit deal is signed off, the economy will soar as business breathes a sigh of relief.
Mr Broadbent told the Press Association: "It's pretty clear that investment has been feeling the consequences of the uncertainty about Brexit and particularly the possibility of a bad outcome."
He said it "makes sense for firms to wait for news if they expect the news to come soon".
The bank chief added: "If you continually expect news to arrive imminently - a resolution - then that can have quite a depressing effect on investment."
Discussing the possibility of a Brexit deal finally getting agreed, Mr Broadbent said: "We think there would be quite a strong bounce-back in investment."
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