Brexit news - live: Government postpones key no-deal bill vote to avoid humiliating tax havens defeat

The latest updates from Westminster

Brexit: Passports and visa rules explained

Prime Minister Theresa May postponed a vote on key bit of Brexit legislation to avoid a humiliating Commons defeat over rules governing tax havens.

Labour grandee Dame Margaret Hodge had tabled a cross-party amendment to the Financial Services Bill, which would have compelled UK overseas territories to be more transparent about business ownership.

It came as Labour MPs from Leave-backing areas dismissed Theresa May's "Brexit bribe" of £1.6bn for run down towns, saying their "vote is not for sale".

Shadow chancellor John McDonnell said it “smacks of desperation from a government reduced to bribing MPs to vote for their damaging flagship Brexit legislation”.

Beleaguered transport secretary Chris Grayling also came under fire on Monday for failing to personally answer questions from MPs about the botched Brexit ferry contracts.

Labour’s shadow transport secretary Andy McDonald said: “He leaves a trail of destruction in his wake, causing chaos and wasting billions of pounds yet he shows no contrition… the transport secretary has become an international embarrassment.”

Here's how the day unfolded:

Key Points

• MPs brand Theresa May's £1.6bn fund for run-down towns an 'utter disappointment'
• Ministers under fire for pulling Commons bill over bid for transparency in tax havens
• Chris Grayling avoids questions on Brexit ferries fiasco as health secretary to face MPs
• PM hints at weakening stance on Irish backstop, jeopardising support for her deal
• Man charged over egg attack on Jeremy Corbyn at north London mosque

[4 March 2019 17:23 · Lizzy Buchan]

MPs have now moved onto an urgent question on the privatisation of the probation system.

Asked by Labour's Richard Burgon, it was prompted by the report by the National Audit Office (NAO) on Friday.

See our piece here:

[4 March 2019 17:40 · Lizzy Buchan]

Wigan MP Lisa Nandy has a pretty stark response to Theresa May's "Brexit bribe" fund for towns.

[4 March 2019 17:48 · Lizzy Buchan]

Britons are losing faith in the Government's ability to control the streets, a Conservative MP has told minsters.

Julia Lopez's warning came as she paid tribute to 17-year-old Jodie Chesney, a Hornchurch and Upminster constituent who was fatally stabbed in a park last Friday.

Ms Lopez added people want to see and feel a change in the response to concerns over knife crime as she pressed Home Secretary Sajid Javid to act.

Speaking in the Commons after Labour secured an urgent question on knife crime, Tory Ms Lopez said: "On Friday night, 17-year-old Jodie Chesney was murdered in my constituency.

"She was a bright, beautiful and kind young woman and she did not deserve to die in this way.

"The public are losing faith in our ability to control our streets and they need to see and they need to feel a step change in our response to public safety concerns."

[4 March 2019 17:52 · Lizzy Buchan]

Finally onto the UQ on Eurotunnel court case, which is being answered by Matt Hancock, the health secretary.

[4 March 2019 18:15 · Adam Forrest]

The transport secretary Chris Grayling is an “international embarrassment” who should be sacked over the £33m payment to Eurotunnel, according to Labour.

Shadow transport secretary Andy McDonald told the Commons Mr Grayling had showed “disregard for taxpayers” by failing to defend himself in the House.

He added: “Even in this golden age of ministerial incompetence, the transport secretary stands out from the crowd.

“He leaves a trail of destruction in his wake, causing chaos and wasting billions of pounds yet he shows no contrition, no acknowledgement of his mistakes nor any resolve to learn and improve... the transport secretary has become an international embarrassment.”

[4 March 2019 18:23 · Adam Forrest]

In his response, health secretary Matt Hancock did not try to defend Mr Grayling personally, but argued the legal settlement with Eurotunnel – a maximum of £33m – was necessary.

He added: “The purpose of the decision was to ensure the unhindered flow of medicines. The purpose of this is to make sure that whatever happens in Brexit people can be safe.”

But it appears not everyone is convinced.

[4 March 2019 18:36 · Adam Forrest]

Wigan MP Lisa Nandy is unimpressed by Theresa May’s new fund for struggling English towns.

Here the Labour politician explains why it “doesn’t even begin to make a dent in what has been lost”.

[4 March 2019 18:55 · Adam Forrest]

Labour’s general secretary Jennie Formby addressed a meeting of the PLP this evening and talked about how the party handles antisemitism complaints.

[4 March 2019 19:06 · Adam Forrest]

The head of HMRC has warned the organisation is still almost 1,000 employees short of the staff numbers needed to cope with a no-deal Brexit.

The chief executive Sir Jon Thompson said HMRC will require 5,500 staff if Britain leaves the EU without an agreement with Brussels.

Giving evidence to the Commons Public Accounts Committee, he said the latest figures for the end of January showed they were still only up to 4,200.

[4 March 2019 19:16 · Adam Forrest]

Apparently, negotiators are looking at whether the Vienna Convention on the law of treaties – dating back to 1969 – could help determine how long an extension to Article 50 could be. That’s if the prime minister’s deal doesn’t pass and MPs vote for a delay in the days ahead.

Bloomberg has looked at the likelihood of a delay and the “escape route” available in the obscure convention.