Theresa May suffers Brexit setback over no-deal scenario

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In the event, 20 Tories voted for the measure. Instead, all they have done is limit the Chancellor's tax raising.

Anti-Brexit MPs believe that delaying the process by a few months could give vital breathing space to get a different deal, or even to trigger a second referendum.

The reason was simple and always was the same one as a roadblock - Mrs May's attempt to get more guarantees over the controversial Irish border "backstop" - the issue troubling many MPs - was dismissed by European leaders. That is how you stop no-deal.

Cooper's amendment meant that new power would only be allowed to come into force if there were either a Brexit deal, a decision to extend article 50, or a vote in the Commons specifically approving a no-deal Brexit.

"But I think it is very unlikely that parliament will stare down the barrel of that particular gun". After Brexit, it will no longer be represented in the assembly.

"We agreed that we would stand by the agreement we made with the United Kingdom at the end of past year".

Some Brexit supporters say a no-deal exit is the only way to truly leave the bloc and that warnings of the economic consequences have been overblown to drum up support for Mrs May's plan.

"It would also generate some very practical issues, for example European Union parliamentary elections at the end of May".

"This is likely to be the first salvo in a pretty sustained campaign among the opponents of a no-deal outcome to try and frustrate that outcome by putting amendments like this on every piece of legislation they can, essentially searching for every spanner they can find to throw into the works and frustrate the machinery of government, making no deal unworkable", Hull said.

For the Gulf, while all this seems far away, the consequences of these uncertainties is being felt on the United Kingdom high streets where Gulf shoppers are making a killing on lower sterling exchange rates and for British expats even better exchange rates are in the offing as the clock tick-tocks to 29 March 2019.

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"The real choice facing Parliament and the country is now clear", he said.

He said: "It shows that there is no majority in Parliament, the cabinet or the country for crashing out of the European Union without an agreement".

Moves so far would be only the "tip of the iceberg" if there is a no-deal Brexit, EY said.

Earlier, former Treasury permanent secretary Nick Macpherson tweeted that it was unrealistic to expect such a timeframe.

Brexit Secretary Stephen Barclay denied this, and May's spokesman insisted: "We will not be extending Article 50".

The Commons voted by 303 to 296 - a majority of seven - in favour of the cross-party amendment to the Finance Bill tabled by senior Labour MP Yvette Cooper and Conservative former Cabinet minister Nicky Morgan.

A British government test of how lorries could cope in a no-deal Brexit ran into trouble on Monday when only 89 vehicles, just over half the required number, turned up.

Her proposal aims to restrict the Government's freedom to use the Bill to make tax changes linked to a no-deal Brexit without the "explicit consent" of Parliament.

Late on Monday, several MPs left the No.10 drinks reception but none appeared to have change their minds on May's plans. He told the BBC: "The government has to ensure that all eventualities are covered".

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