The remaining members of the European Union formally approved a two-year transition period once Britain leaves the union, said the chairman of the summit.

The move sets the scene for talks on trade to get under way in earnest, following months of wrangling over the terms of the UK’s withdrawal in March 2019 and a 21-month transition period to the new arrangements.

Prime Minister Theresa May called for a “new dynamic” in the next stage of negotiations, in order to reach a deal which will be good for both Britain and Europe.

Addressing the EU27 over dinner in Brussels on Thursday evening, Mrs May said it was their duty to show “energy and ambition” in the upcoming talks.

The Prime Minister extended her visit to the European Council summit in Brussels in order to take part in discussions on US trade tariffs on Friday morning, but she left the meeting to allow the EU27 to discuss Brexit in her absence.