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THERESA May and Jeremy Corbyn are drawing up a grand fudge on customs in a joint bid to pass a Brexit deal.

The PM dropped big hints on the potential compromise plan during a grilling from senior MPs yesterday.

 Theresa May dropped big hints on the potential compromise plan during a grilling from senior MPs yesterday
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Theresa May dropped big hints on the potential compromise plan during a grilling from senior MPs yesterdayCredit: PA:Press Association

Sources close to the talks also revealed the proposal would let Britain sign limited free trade deals with other countries, probably only on services such as banking or insurance.

At the same time, it would also allow frictionless trade in goods with the EU to continue by abiding by all Brussels’ customs rules.

Cabinet ministers on Mrs May’s negotiating team are insistent that the cross-party agreement must be seen to preserve some element of an independent trade policy or they fear it won’t win the support of enough Tory MPs.

The plan will be dubbed a customs “arrangement” rather than a customs union in a bid to detoxify it with Brexiteers.

NAME CHANGED TO 'DETOXIFY'

But while the two party leaders have committed to try to make it work, it is not yet clear whether either will be able to sell the fledgling deal to their respective wider Cabinets.

Mrs May told MPs yesterday that the Tory and Labour teams’ thinking on the key issue was aligning, saying: “Actually, we are trying to achieve something very similar, which is trying to protect jobs”.

The PM also revealed that work by the Tory and Labour negotiators was underway to draw up a new customs plan.

She told the Liaison Committee of Commons chairmen: “One of the problems with this debate has consistently been that very often it is framed in terms of existing models. It is important for us to be looking at the new models that are available.

“It’s also all too often framed in terms of existing language which people take to mean certain things.

“Often people will use the terms customs union and have in their mind different things about what that achieves.”

Mrs May added: “We are sitting down and talking about what both sides both want to achieve in relation to customs.

“Can we come to an agreement on that? I hope we will, but those discussions continue.”

In a unique display of cross-party Brexit unity, Labour chiefs reinforced Mrs May’s words last night to suggest a customs compromise was in the offing.

MORE WAYS TO SKIN A CAT

Mr Corbyn’s spokesman said: “There is more than one way to skin a cat in terms of the Government moving off its position on a customs union.

“The name isn’t the most important thing.”

During the 90 minute session with the MPs, the PM also clashed with both Remainer and Brexiteer critics.

Arch Tory Eurosceptic Sir Bill Cash told her: “You’ve just said you want to leave the EU. Well why don’t you get on with it Prime Minister?”

Mrs May hit back: “”I’ve been trying to get on with it.

“I want us to leave the European Union. I have been working for us to leave the European Union.

“I have voted three times for it. If everyone across the House of Commons had voted the way I did, we would no longer be a member of the European Union”.

Labour Home Affairs Committee boss Yvette Cooper also attacked Mrs May to say: “Resilience is a strength, but stubbornness is a weakness. What’s the evidence that you’re actually prepared to compromise?”

Mrs May also conceded that the ongoing Brexit delay was hurting the economy, admitting that “uncertainty of any sort has an impact on business”.

But she refused to put a date on when she will bring her divorce deal back to the Commons for a fourth vote, saying only it would be “well before” the latest Article 50 extension’s end date of October 31.

 It is not yet clear whether May or Corbyn will be able to sell the fledgling deal to their respective wider Cabinets
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It is not yet clear whether May or Corbyn will be able to sell the fledgling deal to their respective wider CabinetsCredit: Getty Images - Getty
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