NICOLA Sturgeon has unexpectedly raised hopes of a deal with the UK Government on its flagship Brexit Bill after suggesting that the difficulties between London and Edinburgh were not “insurmountable”.

After a one-to-one meeting with Theresa May in No 10 followed by a 90-minute plenary session of the Joint Ministerial Committee, the First Minister emerged to confirm, as expected, there had been no breakthrough on the constitutional deadlock.

The Scottish and Welsh Governments regard the EU Withdrawal Bill as a “power-grab” by Whitehall, which they claim undermines the devolved settlement.

But the UK Government insists it has to have regard to protecting the integrity of the UK-wide internal market and could not, on a certain number of cross-border issues, allow Edinburgh or Cardiff to act in a way that could undermine it with an effective veto over common frameworks.

Yet Ms Sturgeon expressed a more positive tone to reporters in Downing Street, saying all sides wanted to reach an agreement and there was a “real urgency” to get a deal.

"The issues that remain between us are not insignificant but neither are they insurmountable,” declared the FM. “With understanding and goodwill on both sides, then a deal can be reached…There is still some way to go but there is a willingness and determination to see if we can get there,” she stressed.

Ms Sturgeon again referred to how she was standing by a “matter of principle”; that the UK Government should not be able to restrict devolution and could only act with Holyrood’s consent.

“There is an agreement that there are certain matters that will require UK-wide frameworks, we have never argued about that, this is a question about whether those frameworks are arrived at by agreement or by imposition.”

The FM admitted the basic issue boiled down to a “matter of trust,” explaining how the UK Government's concern was that Scottish Parliaments or Governments could withhold consent unreasonably "and there were discussions to be had “to give assurances that wouldn't be the case".

Asked if she could compromise on a matter of principle, Ms Sturgeon replied: “The issue of principle has to be upheld but the issue of principle is that the Scottish Parliament has to consent to its powers being changed in any way even if that is just temporary.”

Later, Carwyn Jones, her Welsh counterpart, added to the mood of optimism by appearing outside No 10 to say: “We’re close but there are still a few hurdles to be overcome.”

The UK Government did not offer a minister to the waiting media outside No 10; the only appearance of one came when David Lidington, the Cabinet Office Minister, rushed out of Downing Street and shouted how the JMC had been “a very good meeting”.

No 10 subsequently put out a statement, which said the PM and FM had “discussed the tabled amendment to the EU Withdrawal Bill that would ensure the vast majority of devolved powers will transfer directly to Edinburgh, Cardiff and Belfast and committed to continuing to work together to find an agreement”.

David Mundell, the Scottish Secretary, who was not present at the JMC because of the death of his mother earlier this week, has made clear he expects the deadlock over the Withdrawal Bill to “go to the wire”.

The UK Government tabled its amendment on Monday but regards it as an “opening gambit,” which could be changed. However, time is running out. The latest the bill can be amended is at Report Stage in the House of Lords, which is expected to end at the beginning of May.

At this point, the legislation will go to the Scottish Parliament for its consent. If it is not given, Whitehall sources have indicated the UK Government, given the “vital” nature of the bill in transferring all EU law into domestic law in time for Brexit Day, will press ahead with it despite MSPs withholding their approval.

Mrs May and her colleagues believe they have compromised significantly and that if the matter of who is to blame for a lack of agreement ends up in the “court of public opinion,” they will win.