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© Agence-France-PresseCabinet Secretary Sir Mark Sedwill says leaving the EU without a deal would hamper the police and security services and lead to the return of direct rule in Northern Ireland
Britain's highest-ranking civil servant has issued a doomsday analysis of how the country would be affected by a No Deal Brexit, as MPs yet again failed to break the deadlock last night.

The House of Commons rejected all four alternative Brexit plans in another series of votes last night, leaving Britain with no clear plan just 10 days before a possible cliff-edge exit.

MPs rejected a customs union and a Norway-style agreement, dealing a blow to Remainer hopes of a soft Brexit, and also voted against a second referendum.

The customs union plan proposed by longstanding Tory Europhile Kenneth Clarke was closest to victory - losing by just three votes, 276 to 273. But MPs have now rejected 12 'indicative vote' motions and approved none, after trouncing Theresa May's withdrawal agreement three times.

Moments after last night's results emerged, Tory MP Nick Boles dramatically announced he was leaving the party, slamming his former colleagues for their failure to find a compromise.

Sir Mark's bombshell letter to ministers, extracts of which have been leaked to the Daily Mail, comes ahead of a five-hour Cabinet showdown today. In the letter, the Cabinet Secretary says leaving the EU without a deal would hamper the police and security services and lead to the return of direct rule in Northern Ireland.

Mark Carney warns economy is not prepared for no-deal Brexit

Sir Mark's 14-page letter warns:
  • No Deal would result in a 10 per cent spike in food prices and the collapse of some businesses that trade with the EU;
  • The Government would come under pressure to bail out companies on the brink;
  • It would hamper the ability of the police and security services to keep people safe;
  • It would lead to the reintroduction of direct rule in Northern Ireland for the first time since 2007;
  • A recession will hit the UK and the pound's depreciation will be 'more harmful' than in 2008;
  • Our legal authorities and judicial system would be put under 'enormous pressure'.
Theresa May has summoned her Cabinet for a marathon five-hour meeting in No 10 today to thrash out whether to switch to a soft Brexit, leave without a deal next week or trigger a general election or second referendum.
theresa may
© Press AssociationMrs May's final appearance on the world stage could be at the G20 at the end of June, 2019
Sir Mark was Mrs May's permanent secretary at the Home Office from 2013 until she entered Downing Street in 2016. Before then his area of expertise had been in foreign policy. He started his diplomatic career at the Foreign and Commonwealth Office in 1989 and was posted to Egypt, Cyprus and Pakistan before becoming private secretary to foreign secretary Jack Straw be-fore the 2003 Iraq war, and ambassador to Afghanistan in 2009.

The session will begin with a three-hour meeting of the 'political Cabinet', during which ministers will discuss the political risks and consequences for the Tory Party.

But Sir Mark's letter warns that No Deal would have wider consequences for the UK's economy, security and constitution.

It was sent to every member of the Cabinet last week. It is understood ministers asked for Sir Mark's assessment to ensure they were complying with their duty to govern in the national interest. The letter will now be kept in the Government's files and could be released in the event of a public inquiry into the handling of Brexit.

Sir Mark, who also serves as the Government's national security adviser, warns that No Deal would affect our security services. 'Our national security would be disrupted,' he says. 'The UK would forfeit access to criminal justice levers. None of our mitigation measures would give the UK the same security capabilities as our current ones.

'A No Deal exit would enormously increase pressure on our law and security authorities and on our judicial system. The UK would be less safe as a result of this.'

He says Northern Ireland would face 'more severe' consequences, particularly as the lack of devolved government would require direct rule from London.

'The running of Northern Ireland under No Deal is a sensitive issue,' he says. 'The current powers granted to the Northern Irish Secretary would not be adequate for the pace, breadth or controversy of the decisions needed to be taken through a No Deal exit. Therefore we would have to introduce direct rule.'

One source said Sir Mark's warning on the union had convinced Mrs May she could not risk taking the UK out without a deal.
The letter says the Government does not expect the banking system to crash. But it warns firms heavily involved in trading with the EU could 'struggle to get credit'.
pound dollar brexit
The pound fell sharply against the dollar in the wake of the latest 'indicative votes' in the House of Commons, which once again saw every Brexit option rejected by MPs
Sir Mark goes on: 'There would be enormous pressure on the Government to bail out companies on the brink.'

In a separate letter to Mrs May, 170 Tory MPs, including ten members of the Cabinet, have urged her to take us out of the EU next week even if she can't get her deal through. Andrea Leadsom, Steve Barclay, Penny Mordaunt, Geoffrey Cox, Gavin Williamson, Brandon Lewis, Sajid Javid, Liz Truss, Chris Grayling and Alun Cairns are understood to be warning her it would be better to leave without a deal than switch to a soft Brexit.

Miss Truss said: 'I think we are well-prepared for No Deal. I don't have any fear of No Deal.'

Mr Grayling, Mr Javid and Mr Williamson also warned yesterday against pursuing a soft Brexit option such as a customs union.

brexit vote March
© The Daily Mail
But a string of other ministers have indicated they could quit if the Government pursued No Deal, including David Lidington, David Gauke, Greg Clark, Amber Rudd, Claire Perry and David Mundell. While the Cabinet is united behind Mrs May's deal, ministers are deeply split on what to do if Parliament continues to oppose it.

MPs rejected the deal for a third time last Friday by 58 votes. Ministers will today discuss the idea of bringing back it for a fourth attempt, possibly on Thursday.

But with the DUP making it clear it will never back the deal, hope is fading that it can be passed before Britain is due to leave on April 12.

If the deal is not passed, Mrs May will travel to an emergency Brussels summit on April 10, where she will either have to request a lengthy delay to Brexit or inform the EU she has opted for No Deal.

Downing Street declined to comment on Sir Mark's letter.

MPs voted down all alternative Brexit options in a second round of votes aimed at finding a replacement for Theresa May's Brexit deal last night.
The Commons rejected a customs union, Norway-style soft Brexit, second referendum and cancelling Brexit - less than a week after eight plans were rejected in the first round.

All of the plans got fewer Aye votes than Mrs May's deal received on its third drubbing on Friday.
brexit votes
© The Daily MailMPs rejected all four options for Brexit last night. Analysis by the Institute for Government shows almost no Tories backed Nick Boles plan - prompting his resignation - while Labour abstentions doomed a second referendum
The customs union plan proposed by Ken Clarke was closest to victory - losing by just three votes 276 to 273. A second referendum got the most votes overall for a second week, with 280 votes to 292 against.

Tory MP Nick Boles sensationally resigned from his party moments after the votes were announced - blaming the Conservatives' refusal to compromise for the failure to find a way forward. His plan for a Norway-style soft Brexit was defeated 282 to 261, having won just 33 Tory votes.

MPs have again voted down all alternative Brexit options put to it in a second of votes aimed at finding a replacement for Theresa May's (pictured returning to Parliament last night) Brexit deal

MPs rejected all four options for Brexit last night. Analysis by the Institute for Government shows almost no Tories backed Nick Boles plan - prompting his resignation - while Labour abstentions doomed a second referendum

In what may become an historic moment during the Brexit crisis and on the brink of tears, Mr Boles admitted his plan to find a consensus had 'failed' and announced he could no longer stay in the party.

The votes were staged after rebel MPs seized control of the Commons agenda in the wake of Mrs May's deal being repeatedly trounced. After the votes were called, Brexit Secretary Stephen Barclay warned MPs had still not voted for a clear way forward and confirmed the Cabinet would discuss the outcome tomorrow.

Earlier, the debate was interrupted by semi-naked protesters in the public gallery. Demanding action on climate change, they said the endless Brexit debates were a distraction.

Mrs May has summoned her ministers to an epic Cabinet tomorrow - fuelling speculation she is getting ready for the 'nuclear' option of an election despite her deep unpopularity in her own party.

Instead of the usual 90-minute discussion, Tory ministers will spend three hours locked in talks without officials from 9am - meaning they can discuss party politics and how to tackle the Brexit endgame in light of the results. There will then be a normal two-hour Cabinet where the Government can take decisions on the fate of the nation.

EU reaction arrived swiftly. Within minutes, European Parliament Brexit coordinator Guy Verhofstadt, tweeted: 'The House of Commons again votes against all options.

'A hard Brexit becomes nearly inevitable. On Wednesday, the U.K. has a last chance to break the deadlock or face the abyss.'

Announcing his shock resignation, Mr Boles said: 'I have given everything to an attempt to find a compromise that can take this country out of the European Union while maintaining our economic strength and our political cohesion.

'I accept I have failed. I have failed chiefly because my party refuses to compromise. I regret therefore to announce I can no longer sit for this party.'

One MP could be heard saying: 'Oh Nick, don't go, come on.'

Independent Group leader Heidi Allen said she did not know Mr Boles was going to quit the Tories but said he was welcome to join their new group.

Mr Boles later said on Twitter: 'I am resigning the Conservative whip with immediate effect.

'The Conservative Party has shown itself to be incapable of compromise so I will sit as an Independent Progressive Conservative.'

Most Tory MPs had a free vote on the alternatives to Mrs May's deal tonight, with 25 or more junior ministers predicted to be ready to back a softer Brexit. Just 37 Tory MPs split from the party line to back a customs union and 33 of them backed Mr Boles. There were 15 Tory votes for a second referendum. Cabinet ministers were told to abstain amid deep splits that may see mass resignations whichever way Mrs May chooses to respond to tonight's chaos.

All eyes will be on the 10 ministers known to back a customs union with the EU if Theresa May's deal is killed off, including the 'gang of four' cabinet remainers: Work and Pensions Secretary Amber Rudd, Justice Secretary David Gauke, Business Secretary Greg Clark and Scottish Secretary David Mundell. They would be willing to quit if Mrs May pushes for a No Deal Brexit and could do it by defying her order to abstain in tonight's indicative votes.