Parliament 'rules out' no-deal Brexit
Sterling fell by as much as 0.7%
The House of Commons has voted in favour of ruling out a no-deal Brexit after voting by a margin of 318 to 310 in favour of Caroline Spelman and Jack Dromey's amendment to the Withdrawal Agreement.
The agreement, which is not legally binding, proposes to add the words "[Parliament] rejects the United Kingdom leaving the European Union without a Withdrawal Agreement and a Framework for the Future Relationship" to Prime Minister Theresa May's final motion.
Brexit Blog: MPs vote in favour of two amendments
Prime Minister Theresa May will now return to Brussels in an attempt to renegotiate aspects of her Brexit deal before returning to Parliament for further debate and voting on 13 and 14 February.
In the wake of the result, Labour leader Jeremy Corbyn said he and his party would now be willing to engage with the Prime Minister on finding a solution to the impasse.
In addition, Graham Brady's amendment also passed, meaning May will try to replace the Irish Backstop with "alternative arrangements to avoid a hard border". Brady's amendment is also not legally binding and has been criticised as being overly vague.
May will attempt to re-open negotiations with the EU over the Northern Ireland backstop, claiming she will pursue a "significant and legally binding change" to the proposal.
She added she would potentially seek a time limit or a unilateral exit clause to the backstop as other "alternatives".
However, May faces strong opposition to any changes to the existing agreement from many EU leaders and European Commission negotiators.
The EU has said on several occasions that it will not re-open the Withdrawal Agreement, despite May's latest U-turn.
Sterling fell by as much as 0.7% against both the dollar and euro as Parliament failed to pass two amendments which would have called for an extension of Article 50.
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A summary of the failed amendments:
Jeremy Corbyn
The leader of the opposition's amendment calls on the government to rule-out a "disastrous" no deal Brexit. It would also call for the establishment of a permanent customs union with the EU and legislating to hold a public vote on any deal agreed.
Ian Blackford
The SNP MP also want to rule out a no deal Brexit but his amendment also calls for an extension of Article 50 and emphasises the role of the UK nations in negotiations.
Dominic Grieve
Grieve's amendment would allow MPs to discuss a range of alternatives and vote on fresh amendments to May's plan six full days in the Commons before 26 March.
Yvette Cooper
Cooper's amendment seeks to postpone Brexit beyond 29 March until 31 December, if MPs do not approve her deal by 26 February, by extending Article 50.
Rachel Reeves
The Labour MP's amendment would force the government to ask the EU to postpone Brexit day, but does not specify until when.
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