Theresa May Brexit statement: PM demands new ideas from Brussels after EU rejects her plans - as it happened

We're now getting live footage from the room in Downing Street where Theresa May will speak, suggesting the power has been restored and the statement is imminent...

Here we go....

May says she has always said "negotiations would be tough and they were always bound to be toughtest in the final straitght".

May says there are two alternative to her Chequers plan.

One - the EU's plan - would see the UK "abide by all the EU rules" and accept "uncontrolled migration from the EU"

This, she says, would "make a mockery of the referendum we had two years ago"

She says the other option would see "Northern Ireland permanently separated economically from the rest of the UK".

She says Parliament has unanimously rejected this idea and that it is something she will "never agree to" and no prime minister would ever agree to:

"If the EU believe I will, they are making a fundamental mistake."

Theresa May says keeping Northern Ireland in the customs union is "unacceptable".

She says the UK will lay out an alternative back-stop arrangement for the Northern Ireland border that will stick to her promise that there should be no new regulatory checks in the Irish Sea unless agreed by the Northern Ireland Assemby.

Of the EU she says:

"We cannot accept anything that threatens the integrity of our union, just as they cannot accept anything that threatens the integrity of theirs."

She says she has treated the EU "with nothing but respect" and that the UK deserves the same.

May says it is "not acceptable" for the EU to simply reject the UK's proposals without explanation or counter proposals. She says Brussels must explain "what the real issues are and what the alternative is".

May promises that the rights of EU citzens living in the UK will be protected even in the case of a no-deal Brexit. She tells them:

"You are our friends, our neighbours, our colleagues. We want you to stay."

She also tries to reassure the people of Northern Ireland, saying:

"We will do everything in our power to prevent a return to a hard border."

May says denying the legitimacy of the Brexit vote "threatens public trust in our democracy".

She says:

"No-one wants a good deal more than me, but the EU should be clear: I will not overturn the result of the referendum, nor will I break up my country."

Hurling the ball into Brussels court, she finishes by saying:

"We need serious engagement on resolving the two big problems in the negotiations, and we stand ready."

And with that she turns and leaves the room.

So what was new in Theresa May's statement? Two things:

1. She guaranteed the rights of EU citizens in the UK even in the case of an no-deal Brexit.

2. She also offered a glimpse of what the UK's new proposal for a Northern Ireland customs backstop will look like. May re-iterated that the UK will not accept new customs checks between Northern Ireland and Great Britain but hinted that it could accept new regulatory checks - IF the Northern Ireland Assembly agrees to it.

The spanner in the works, of course, is that the Assembly has not sat since the start of last year after power-staring collapsed. Could restoring devolution in Northern Ireland now be crucial to finalising a Brexit deal?

May admitted Brexit negotiations were at an "impasse". She said:

"Yesterday Donald Tusk said our proposals would undermine the single market.  He didn’t explain how in any detail or make any counter-proposal.  So we are at an impasse."

She laid the blame for the deadlock firmly at the EU's door, saying:

"Throughout this process, I have treated the EU with nothing but respect. The UK expects the same. A good relationship at the end of this process depends on it.

"At this late stage in the negotiations, it is not acceptable to simply reject the other side’s proposals without a detailed explanation and counter proposals.

"So we now need to hear from the EU what the real issues are and what their alternative is so that we can discuss them. Until we do, we cannot make progress.In the meantime, we must and will continue the work of preparing ourselves for no deal."

Where does Theresa May's statement leave matters? Well, virtually where they were yesterday. The prime minister did not say anything that could be deemed a game-changer, instead doubling down on her Chequers plan and showing no intention to budge.

We wait to see how the EU responds, but it has repeatedly made clear that it will not accept the UK's current proposals.

There's no doubt that the prospects of Britain crashing out the EU without a deal have increased this week. The two sides are further apart than ever, even though 80 per cent of a deal has already been agreed. But an agreement is clearly in the interests of the both the UK and the EU, so don't be surprised if there is some movement towards a compromise in the weeks to come. With a deal needing to be agreed by the end of the year though, both sides will know that time is rapidly running out...