Theresa May yesterday appeared to rule out a Brexit transition period unless a final deal has been approved too.

It comes following a joint business letter backed by the CBI, EEF, FSB and Institute for Directors warning the UK risks losing jobs and investment without an urgent Brexit transition deal

Liberal Democrat Leader Vince Cable commented:

“This defeats the whole point of a transition deal, which is to provide much-needed certainty.

“Past experience shows there is no way a final trade deal with the EU will be agreed by March 2019.

“Theresa May is snubbing British businesses and adding to the Brexit uncertainty which is already damaging jobs and investment.

“Firms facing crucial investment decisions need clarity now, not in another 18 months’ time.

“This government must lift the shadow of uncertainty hanging over our economy by committing to stay permanently in the single market and customs union.”