Brexit negotiators in new bid to unblock trade talks

BRUSSELS: British and EU negotiators will talk by phone for a second day running Tuesday, to seek a way forward for trade talks after London rejected Brussels' latest outreach.

European sources said Michel Barnier would speak to his UK counterpart David Frost at around 3:00 pm (1300 GMT).

The British government had warned Barnier not to come to London this week to continue trade talks until Brussels makes a "fundamental change" in its negotiating stance.

London wants the EU side to confirm that both sides will have to make compromises to find a trade agreement, not just the UK, and wants to start work on a detailed text.

Brussels have promised that it is ready to move on to "legal texts" and discuss the "structure" of the dialogue, but has not moved on its fair competition rules or fish quotas.

Nevertheless, while London insists that trade negotiations are on hold, both sides remain in close daily contact, and European sources expect full talks to resume shortly.

Britain, which left the EU in January but remains bound by most of the bloc's rules until a transition period ends on December 31, has accused Brussels of stalling negotiations.

An EU summit last week infuriated London when European leaders said the British side must make further compromises.

If no deal is found and implemented before December 31, Britain will end up trading with the EU on bare bones WTO regulations, a massive disruption to cross-Channel business.