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DUP says talks running into 2018 risks 'no deal' Brexit

Taoiseach Leo Varadkar
Taoiseach Leo Varadkar Taoiseach Leo Varadkar

THE DUP has warned that Leo Varadkar suggesting Irish border negotiations could run into next year increases the prospect of a 'no deal' Brexit.

It's the party's latest clash with the taoiseach in a matter of days in the wake of the Brexit border fallout.

Mr Varadkar said discussions on starting the second phase of UK-EU talks could resume in the New Year if agreement is not reached by next week's deadline.

In a signal that the deadlock may not be resolved by next week, Mr Varadkar told TDs in the Dáil: "We want to move to phase two but if it is not possible to move to phase two next week because of the problems that have arisen, well then we can pick it up of course in the New Year."

However DUP deputy leader Nigel Dodds hit out at Mr Varadkar's comments – claiming the taoiseach was "playing a dangerous game" with the Republic's own economy.

Already fractious Brexit negotiations were thrown into disarray on Monday when an apparent deal on the Irish border issue was scuppered by a late intervention from the DUP.

The party said it would not accept "any form of regulatory divergence which separates Northern Ireland economically or politically from the rest of the United Kingdom".

The UK wants EU leaders to agree to starting the second phase of talks – discussing a future trade deal – but the Republic says to support this it needs a commitment that there will be no return to a hard border.

Yesterday, Mr Varadkar acknowledged it was in the south's interest to see negotiations move to the second phase following the European Council meeting.

But he stood by Monday's "agreed" text that reportedly proposes continued 'regulatory alignment' between Northern Ireland and the Republic to prevent a hard border.

In response to the taoiseach's comments, Mr Dodds said: "Leo Varadkar's statement about the Brexit talks continuing into the New Year will send more worries through the business and commercial sectors of the Irish Republic than it will in Northern Ireland or the rest of the United Kingdom.

"The longer there is delay in getting onto the second phase of the negotiations about a trade deal, the greater the prospect of a 'no trade deal' outcome."

Downing Street last night confirmed that the taoiseach and Theresa May had spoken by telephone.

In a statement it said said both leaders "agreed about the paramount importance of no hard border or physical infrastructure at the border".

It said both were "working hard to find a specific solution to the unique circumstances in Northern Ireland that respects the integrity of the UK, the European Union and the Belfast Agreement".

The statement also spoke of a commitment to achiving "a positive result" on the border as well as restoring the Stormont institutions.

A spokesman for the taoiseach said: "They took stock of developments since Monday. The taoiseach re-iterated the firm Irish position regarding the text as outlined by him on Monday. They agreed to speak again over the coming days."

Mrs May also spoke by telephone to DUP leader Arlene Foster, whose party's 10 MPs are propping up the minority Conservative government.

Speaking at Westminster, the prime minister pledged to protect the "constitutional integrity" of the UK and also ensure "no hard border" between north and south.

But she told MPs the issue could only be resolved once negotiations move onto the second phase.

Mr Varadkar said it was the UK's role to come back to the EU side with proposals.

In a reference to the DUP, the taoiseach said he did not accept the idea that "there is only one party in Northern Ireland and that party speaks for everyone", instead saying "we should listen to all parties in Northern Ireland".