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Mr Johnson said he "tried very hard to make progress" at his dinner with Mrs von der Leyen, but the EU was making things "unnecessarily difficult". Moving to WTO rules on 31 December could result in tariffs being imposed leading to higher prices for the goods the UK buys and sells from and to the EU, among other changes. A spokesman said they discussed the situation on Friday morning, but only for 10 minutes.

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Right now it is just too hard to say. Talks are happening: The UK and the EU have until 31 December to agree a trade deal as well as other things, such as fishing rights.

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Australia is negotiating a free trade deal with the EU but currently does not have one. It largely does business with the EU on World Trade Organization WTO rules, but has a few arrangements in place, such as co-operation on science and trade on wine.

Mr Johnson has insisted the country will "prosper" on these terms, but former Australian Prime Minister Malcolm said lookihg UK should be "careful what you wish for". If there is no deal: Border checks and taxes will be introduced for goods travelling between the UK and the EU. But is Boris Johnson only trying to send messages to his opposite s?

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But he said the EU wanted to keep the UK "locked" into its legal system, or face punishments such as taxes on imports, which had "made things much more difficult". Brexit - The basics Brexit happened but rules didn't change at once: The UK left the European Union on 31 Januarybut leaders needed time to negotiate a deal for life afterwards - they got 11 months.

Mr Johnson pledged British negotiators, who earlier d talks with their EU counterparts in Brussels, would "go the extra mile" to reach a deal. It may yet come to pass that the prime minster or the EU leadership will have a change of heart.

Mr Turnbull told BBC's Question Time there were some "very large barriers to Australian trade with Europe", adding: "Australians would not regard our trade relationship with Europe as being a satisfactory one. BBC Europe correspondent Kevin Connolly said the EU leaders had been preoccupied with disputes about their own budget, a maritime row with Turkey in pooking Mediterranean and coronavirus as they talked into the early hours of Friday morning.

They also allow the possibility of fishing access to each other's waters for up to a year, or until an agreement is reached. The answer is no.

But deal or no deal, we will still see changes. Meanwhile, the EU has set out the contingency measures it would take in the event of no trade agreement being reached with the UK. The plans aim to ensure that UK and EU air and road connections still run after the post-Brexit transition period ends on 31 December.

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Canada finalised a deal with the EU in But the PM's warning tonight is far from just a message deed to be heard in EU capitals - whatever the merits of the decision he may posziblity, Downing Street is preparing the ground for a choice to leave the status quo without firm arrangements in place. Of course the rhetoric does not tell us everything that's going on.

The PM added that the EU's proposals would mean, despite leaving the bloc earlier this year, the UK would possiiblity forced to remain a "twin" of the country organisation. On Wednesday we saw this whole saga move closer to what both sides would consider a failure - an inability to agree on a trade deal that had been in reach and is still in their mutual interest.

What are the sticking points in Brexit trade talks? Asked whether his party would back a deal in a vote in the Commons, he said: "We will look at it - and we will act in the national interest.

Arriving at the summit, Mrs von der Leyen said the conditions for a trade deal would have to be "fair for our workers and our companies. Before the PM's remarks, Labour leader Sir Keir Starmer ror Mr Johnson to "get on and deliver" a deal, adding the outstanding issues "are capable of resolution".

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