Theresa May has suffered a humiliating defeat after MPs voted to completely take the option of a no-deal Brexit off the table.
MPs voted by 312 votes to 308 in favour of an amendment that was stronger than the government's own motion in its opposition to a no-deal outcome.
Ms May's motion said the Commons "declines to approve" leaving without a deal on March 29, but said the only way to avoid this is to pass an agreement. The amendment passed by MPs removed this caveat and simply said the Commons "rejects" a no-deal Brexit.
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The prime minister must now let MPs decide whether to rule out a no-deal Brexit and has been forced to offer a "free vote".
"After divisive debates & votes, today can become a turning point.
Rejecting No-deal-Brexit by a large cross-party majority will unite millions in the UK & in Europe.Whatever you finally decide. Good luck dear friends!"
Brexit is over. If you take no-deal off the table, I do not see how you can save Brexit."
"No deal is going to be very disruptive for the economy. No deal also has serious questions for the union, for example in Northern Ireland where there isn't a government in place, there are serious questions raised by the head of the Civil Service, so there are are questions for the union in terms of no deal.But I think no Brexit is catastrophic for our democracy. Between those very unpleasant choices, I think no Brexit is the bigger risk."
Tariffs on most imports to be scrapped as government finally reveals secret no-deal Brexit plan
'Honesty box' at Irish border risks being smugglers’ paradise - and severe damage to Northern Irish farms and businesses"This is a modest liberalisation, it is a temporary measure, this is for a short term while we engage with business and see what the real-term consequences are," he said.
Asked if Labour would push for another motion of no confidence in the Prime Minister she said it was "something that we may consider in the future".
Pressed on Labour's position on a second referendum she said: "We have not ruled out a People's Vote but our priority is securing a deal."
"What needs to happen next is to rule out no-deal, that would be a disaster for our country and to seek an extension.I'm sure that's what's going to happen next."
He told BBC Radio 4's Today programme that plan A remained putting "alternative arrangements" in place to replace the backstop in the Withdrawal Agreement.
The second element was to "buy" an implementation period "so they get about £10 billion a year and we all get a transition arrangement".
The third was offering "standstill" arrangements with the EU to provide a third way to have a smooth exit.
The EU's Michel Barnier has repeatedly stressed that a transition arrangement could only be offered if there was a formal Withdrawal Agreement, but Mr Baker said "negotiability is a dynamic concept".
Britain is Australia's seventh-largest trading partner, with two-way trade totalling around £15 billion in 2017-18.
The country's trade minister said the Australian government was "doing all we can" to help firms deal with the uncertainty created by Brexit.
James Pearson, chief executive of the Australian Chamber of Commerce and Industry, said the 300,000 businesses it represents were "exposed quite heavily" to export and import markets and the UK was a "significant" trading partner.
"(MPs) need to resolve the issues as soon as practical so that we can get on with building and strengthening further the United Kingdom-Australia trade and investment relationship.
It's got a long history, it's a very strong and profitable one and a beneficial one for the people and businesses of both countries, so we are looking forward to doing that once this uncertainty is resolved."
Tory former minister George Eustice, took a different position, and said the government should be prepared to back a no-deal exit.
"We have to have the courage as a country, having taken this big decision, to take our freedom first and continue talking afterwards," he said.
"I was dealing with no-deal preparations until very recently; we know that the EU, in the event of a so-called no-deal, will in fact seek some sort of informal understanding that there wouldn't be much change for nine months."
Earlier, chancellor Philip Hammond used his Spring Statement to downgrade growth forecasts and warn MPs that uncertainty over Brexit was damaging the economy.
It came after ministers revealed plans to scrap tariffs in the event of the UK crashing out of the European Union without a deal as MPs prepare to vote on a no-deal Brexit.
Under a temporary and unilateral regime, EU goods arriving from the Republic of Ireland and remaining in Northern Ireland will not be subject to tariffs – a prospect likely to increase the risk UK jobs would be lost. Charges will however be payable on goods moving from the EU into the rest of the UK via Northern Ireland under a schedule of rates also released today.
