Theresa May appears to have won the backing of Cabinet Brexiteers to double the UK's "divorce bill" offer from £20bn to £40bn.
At a tense two-hour meeting of senior ministers in 10
Downing Street, Boris Johnson and Michael Gove are believed to have
agreed to the move - with conditions.And in another significant move aimed at breaking the deadlock in Brexit negotiations, the UK will allow a role for the European Court of Justice after Brexit.
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The moves were agreed at a meeting of the Cabinet's Exit and Trade (Strategy and Negotiations) Cabinet committee, already being called a Brexit "war Cabinet".
An early signal that ministers were ready to agree to double the UK's divorce bill offer came from the Brexit Secretary David Davis as he arrived for the meeting.
Asked by Sky News if he had brought his cheque book along to the meeting, Mr Davis - who is leading the Brexit negotiations - smiled and said: "No. Yours!"
Another sign that Cabinet Remainers won the day and overruled the Brexiteers came when the Home Secretary Amber Rudd later told Sky News: "It was a very good meeting."
In contrast, the Cabinet's leading Brexiteers, Mr Johnson and Mr Gove, were tight-lipped as they left No. 10, while Liam Fox left the meeting alongside a silent Mr Davis.
The conditions demanded by Mr Johnson and Mr Gove were that the EU must spell out what the UK will receive in return for handing over increasing amounts of taxpayers' money.
The Prime Minister wants to persuade EU leaders to allow Brexit talks, stalling in the first phase, to move on to future relationship negations - including a trade deal.
She also wants them to agree in principle to a time-limited transition deal after the UK leaves the EU in March 2019.
Tory MP Andrew Bridgen did not seem impressed, saying it was "up for debate" how to move negotiations on.
He told Sky News: "Whatever deal we do, I've got to be able to look my constituents in the eye and say this is a good deal for our country.
"When there are so many needs for government spending - the health service, schools, police, the armed forces - I think we should be negotiating a bit harder with taxpayers money."
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