The European Council President Donald Tusk has said he still “dreams” of the UK reversing Brexit after EU27 leaders gave the UK an extra six months to agree its withdrawal.

Tusk insisted that if British MEPs are elected in May they must be treated as "full members", as he hinted that the UK could delay Brexit beyond October.

Addressing the European Parliament in Strasbourg, Mr Tusk said: "One of the consequences of our decision is that the UK will hold European elections next month.
"We should approach this seriously as UK members of the European Parliament will be there for several months - maybe longer.

"They will be full members of the Parliament with all the rights and obligations. I am speaking about this today because I have strongly opposed the idea that during this further extension the UK should be treated as a second category member state. No, it cannot.

"Therefore I also ask you to reject similar ideas if they were to be voiced in this House."

Mr Tusk also said the European Union did not give into "fear and scaremongering" about the UK disrupting the EU's functioning during a Brexit extension.

He said: "I know that some have expressed fear that the UK might want to disrupt the EU's functioning during this time but the EU 27 didn't give in to such fear and scaremongering.

"In fact, since the very beginning of the Brexit process the UK has been a constructive and responsible EU member state and so we have no reason to believe that this should change.

Speaking to MEPs in Strasbourg on Tuesday, the president of the European Council he said he would not “give into fatalism” about the Brexit process.

He said he the extension "gives our British friends more time and political space to find a way out of the current situation" and allowed the EU to concentrate on other priorities like trade with the US.

He added: "During the European Council one of the leaders warned us not to be dreamers, and that we shouldn't think that Brexit could be reversed. I didn't respond at the time, but today, in front of you, I would like to say: at this rather difficult moment in our history, we need dreamers and dreams. We cannot give in to fatalism. At least I will not stop dreaming about a better and united Europe."

It was not immediately clear which leader he was referring to, but French President Emmanuel Macron stood out at the summit for pushing for Britain to be given only a few weeks more to decide whether to leave on negotiated terms or without them. 

Mr Tusk said he hoped that the UK would use the extension in the "best possible way" and that the UK would have to take part in European elections.

"The European Council will be awaiting a clear message from the UK on the way forward," he said.

Mr Tusk urged Brussels not to treat Britain as a second class member because Brexit could be delayed once again. He told the European Parliament there could be British MEPs for "many months or maybe longer".

He explained that everyone "including myself is exhausted with Brexit  which is completely understandable".

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And he added: "However, this is not an excuse to say: "let's get it over with", just because we're tired. We must continue to deal with Brexit with an open mind, and in a civilised manner. Because whatever happens, we are bound by common fate, and we want to remain friends and close partners in the future."

European Commission President Jean-Claude Juncker said the EU has "nothing to gain" from the disruption a no-deal Brexit would bring to the UK.

Mr Juncker said the EU had adopted the "necessary contingency measures", but said only those who seek to undermine the global legal order would benefit from such an exit.

"We have adopted the necessary contingency measures and we are ready for a no-deal Brexit," he told MEPs.

"But our union has nothing to gain from great disruption in the United Kingdom. The only ones who would benefit are those who resent multilateralism and seek to undermine the global legal order."

European Parliament chief Brexit co-ordinator Guy Verhofstadt expressed his fear that Brexit will "poison" the European elections.

Referring to the delay to Brexit, he said: "I fear that it will continue the uncertainty. I fear that it will prolong the indecision. And I fear most of all that it will import the Brexit mess into the European Union.

"And moreover that it will poison the upcoming European election."

Meanwhile, Brexit Party leader Nigel Farage claimed his party would win a general election if Theresa May and Jeremy Corbyn agree to a permanent customs union compromise.

He told the European Parliament: "The Brexit Party will sweep the board in these elections and there is only one way it can be stopped and that is if the governing party of Mrs May and the opposition of Mr Corbyn come together and agree to a permanent customs union, and indeed effectively membership of the single market.

"If that happens, the Brexit Party won't win the European elections but it will win the general election because the betrayal will be so complete and utter, so I don't believe it's going to happen."

In Westminster, cross-party talks between Labour and the Government are expected to continue on Tuesday at an official level.

Meanwhile, the Independent Group set up by MPs who defected from Labour and the Conservatives has become a registered political party called Change UK.

This means they can field candidates at the upcoming European Parliament elections.