Emmanuel Macron tells Theresa May fate of Brexit in her hands and she needs to produce 'political compromise'

Michael Russell said: "Tory divisions are paralysing the UK Government and leading Scotland to the brink of a catastrophic no-deal outcome.”

The Constitutional Relations Secretary insisted the immediate aim of the UK Government must be to keep Britain in the single market and customs union rather than focus on the “doomed attempts to reconcile the warring factions of the Tory Party”.

At Westminster, Conservative Brexiteer anger intensified over Mrs May’s admission that she was looking at the Brussels’ offer of extending the 21-month transition period.

Yet, irrespective of this, the Irish backstop remains the key obstacle to a Brexit deal.

It was noticeable, when asked, the PM did not dismiss the notion that she had privately told the Irish Government that she accepted the guarantee of a backstop to maintain an open border had to be permanent.

During a number of post-summit press conferences in Brussels, senior key EU figures attempted to sound encouragingly optimistic that a deal could still be done.

Donald Tusk, the European Council President, led the way, stressing how the EU28 was in a "much better mood" and that, despite problems, "we're closer to final solutions and a deal".

His colleague, Jean-Claude Juncker, the European Commission President, said: “I am convinced, under the leadership of Donald, we’ll find a deal with Britain," warning a no-deal would be "dangerous" for both the EU and the UK.

Angel Merkel, the German Chancellor, also expressed hope of a breakthrough, telling reporters: "Where there is a will, there is usually a way."

But Mr Macron set a different tone. At his press conference, the French President declared: “It's now very clearly up to the British Prime Minister and her staff to come back with a solution based on the necessary political compromise on the UK side."

He stressed Brexit was no longer a technical issue and the ball was in the UK court. “It’s not for the EU to make concessions to deal with UK political issues. I couldn’t be clearer on this,” said the President.

For her part, the PM admitted there would be “more difficult moments” ahead but a deal was still possible.

“These were always going to be tough negotiations and they were always going to get tougher as we got to the closing stages.”

She highlighted the upbeat remarks of Mrs Merkel and Mr Juncker and insisted there was a “very real sense people want that deal to be done”.

After Mr Tusk again made clear the EU was willing to offer an extension to the transition period to create extra space for a trade deal to be agreed and Mr Juncker said it “probably will happen,” the PM stressed this was not something the UK was proposing and, indeed, it was not something she felt was necessary.

But, nonetheless, she admitted extending the transition by a “matter of months” could be a solution to the backstop issue ie maintaining the status quo for longer.

However, the notion riled Tory Brexiteers.

Sir Bill Cash, the veteran Eurosceptic, said it was unthinkable that Britain “should be blackmailed by the EU” into paying billions more pounds into EU coffers with an extended transition.

Jacob Rees-Mogg, who chairs the European Research Group of Eurosceptic Tories, said the proposed extension was "a poorly thought-through idea," which could lead to “very substantial costs” for the UK as there might be a move to get it to contribute to the next long-term EU budget.

Nigel Dodds, the Democratic Unionists’ deputy leader, was also dismissive, saying an extension would “cost the United Kingdom billions of pounds yet our fundamental problem with the EU proposal remains".

Gerard Batten, the Ukip leader, said an extension was a play to normalise transition, claiming: "Mrs May's Brexit betrayal slowly slithers into view.”

Leave-backing Cabinet Ministers Michael Gove and Penny Mordaunt also expressed the need to crack on with the Brexit process.

The Environment Secretary said it was "vital" the UK left EU at the "earliest possible point" while the International Development Secretary noted: "The PM was very clear this morning in statements she has given that she recognises the need to do things swiftly, not least because that is what public expects."

Underscoring Tory “despair,” former minister Nick Boles, a Remainer, claimed both sides in the talks were “running down the clock” to argue a no-deal was inevitable. "I'm afraid the PM is losing the confidence now of colleagues of all shades of opinion,” he said.

British business expressed its frustration that the “moment of truth” in sealing a deal had not arrived in Brussels and the process was dragging itself out.

The CBI warned the business community’s patience was "nearing an end”.

Its Director General, Carolyn Fairburn, said: “With each week that passes, firms are accelerating their contingency planning, diverting investment and costing jobs. If extending transition period makes withdrawal agreement easier to agree, it should be welcomed."

Meanwhile, Jeremy Corbyn said: “More than two years after the referendum, the Tories still have no credible plan to deliver Brexit. They have spent far more time arguing with themselves than negotiating with the EU.”

The Labour leader added: “Theresa May must now act in the national interest, not her party interest, and break the deadlock by delivering a deal that protects jobs and living standards.”