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However, the remaining 27 member states will recognise progress made so far by starting internal preparations for future trade talks with Britain, according to a draft summit statement seen by the Financial Times.
The summit conclusions drafted by Donald Tusk, European Council president, will be a serious setback to London, which on Thursday appealed to the EU to offer its chief Brexit negotiator a more flexible mandate.
The one-page statement, which could yet change, will be the main outcome from a critical gathering of EU leaders on Brexit and will set the course for negotiations over the coming months.
Mr Tusk has discussed the approach with all 27 leaders, but some diplomats in Brussels believe the text may still evolve after the summit discussion, particularly on the issue of transition.
The draft outlines the progress made in some areas of talks — particularly with regard to citizen rights — but makes clear that not enough has been done to determine that “sufficient progress” has been made on a divorce settlement.
It suggests EU leaders will “reassess the state of progress” at a summit in December, and if sufficient progress is made, adopt additional guidelines for EU negotiators on a transition and future trade relations with the UK.
In a recognition of the progress made so far, the EU will attempt to be “fully ready for this scenario” by inviting Michel Barnier, its chief negotiator, to “start internal preparatory discussions” on a transition and the future relationship.
The draft circulated to member states came hours after Britain made an appeal to EU leaders to relax their stance on Brexit talks. Mr Barnier, meanwhile, warned that divorce negotiations were so deadlocked that it would take months before trade discussions could begin. [...]
The draft statement is more positive on the issue of citizens rights, saying further negotiations should build on “the convergence achieved”.
On the other main divorce issue, the Irish border, the draft summit conclusions makes clear that the onus is on Britain to come up with “flexible and imaginative solutions” that avoid hard border controls.It states that “some progress” was made in talks. [...]
Full article on Financial Times (subscription required)