Theresa May cabinet says no-deal planning now government's 'operational priority'

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Defence Secretary tells MPs 3,500 troops are on standby to help in event of no-deal Brexit

Theresa May’s cabinet has agreed to make planning for a no-deal Brexit the government’s “operational priority” after a lengthy meeting in which ministers clashed over what the next move should be.

A £2bn war chest set aside by Philip Hammond, the chancellor, will be spent on preparing the country to crash out of the EU, while businesses and citizens will also be instructed to make the necessary plans.

However, No 10 insisted the government’s “top priority” was securing support for Ms May‘s Brexit deal.

The prime minister's spokesperson said: "Cabinet agreed that with just over three months until we exit from the European Union we have now reached the point where we need to ramp up these preparations.

"Cabinet also agreed to recommend businesses now also ensure they are similarly prepared, enacting their own no-deal plans as they judge necessary.

"Citizens should also prepare in line with the technical notices issued in the summer and in line with further more detailed advice that will now be issued over coming weeks."

But during the cabinet meeting, Remain-backing ministers including Mr Hammond, work and pensions secretary Amber Rudd and justice secretary David Gauke highlighted the risks of a no-deal outcome and said claims it could be a success were a "unicorn" that needed to be "slayed".

Elsewhere, defence secretary Gavin Williamson said 3,500 troops were on standby to help handle the fallout of Britain crashing out of the EU without a deal.

As it happened...

Key Points

• Cabinet agrees to significantly ramp up no-deal Brexit preparations
• Theresa May challenges Jeremy Corbyn to force vote of no confidence in government
• Dutch PM says Britain has 'dropped the vase' and is 'in chaos'

[18 December 2018 11:45 · Benjamin Kentish]

Guy Verhofstadt, the European Parliament's Brexit co-ordinator, has hit out at Jeremy Hunt, calling the foreign secretary "totally irresponsible"...

It comes after Mr Hunt suggested the UK could "flourish and prosper" if there is a no-deal Breit.

[18 December 2018 12:10 · Benjamin Kentish]

As ministers debate whether to step up no-deal planning, a Tory MP has said the preparations should have started much earlier.

Gordon MP Colin Clark told the BBC's Good Morning Scotland:

"No deal is far from satisfactory but ministers are making preparations and we are getting reassurance.

I've been a businessman my entire life, contingency planning is never a waste of time or a waste of money.

"With the greatest respect to the Treasury, and I only came in here in 2017, immediately after the EU referendum they should have started making preparations and we would now be in a much more solid place to negotiate with the EU.

"I admit, we are right up to the wire, we are very close to the 29th of March. We must have contingency planning in place and ministers are acting wholly appropriately.

"I would have liked to have seen them start a lot earlier, I've been in business for a long time - I would not have left it this late".

[18 December 2018 12:29 · Benjamin Kentish]

Tory MP Johnny Mercer sounds like he's looking forward to his Christmas break...

[18 December 2018 12:45 · Benjamin Kentish]

The first of today's No 10 briefings with Westminster journalists is about to get underway, so we should know more about what the Cabinet agreed shortly...

[18 December 2018 13:03 · Benjamin Kentish]

The government has announced new "rough sleeping hubs" in a bid to tackle rising levels of homelessness in England

[18 December 2018 13:18 · Benjamin Kentish]

Full story: Dutch PM Mark Rutte claims Britain 'in chaos' and has 'dropped the vase'

[18 December 2018 13:32 · Benjamin Kentish]

The Independent understands that David Gauke, the justice secretary, told cabinet that ministers should not consider no-deal at an option. At the weekend he suggested he would resign if Theresa May decided the UK should leave the EU without an agreement. 

And he is said to have told today's cabinet meeting:

 "Managed no deal is not an option and it's not on offer from the EU. The responsibility of cabinet ministers is not to propagate unicorns but to slay them."

[18 December 2018 13:49 · Benjamin Kentish]

Confirming the cabinet's decision to step up planning for a no-deal Brexit, Theresa May's spokesman said: "Cabinet agreed that with just over three months until we exit from the European Union we have now reached the point where we need to ramp up these preparations.

"This means we will now set in motion the remaining elements of our no-deal plans.

"Cabinet also agreed to recommend businesses now also ensure they are similarly prepared, enacting their own no-deal plans as they judge necessary.

"Citizens should also prepare in line with the technical notices issued in the summer and in line with further more detailed advice that will now be issued over coming weeks."

[18 December 2018 14:09 · Benjamin Kentish]

Full story: No-deal Brexit planning to be implemented 'in full' after cabinet gives approval

[18 December 2018 14:27 · Lizzy Buchan]

The PM's spokesman also stressed that cabinet agreed that the government's "top priority" remains delivering exit from the EU under the terms of Ms May's deal.

And he insisted that withdrawal under the PM's deal remains "the most likely scenario".

"Delivering the deal remains the government's top priority and our best mitigation against a no-deal scenario," said the spokesman.

"This is a sensible government ensuing that people are prepared for all scenarios."