Brexit - as it happened: Philip Hammond challenges Brussels over City deal as EU warns against 'pick and mix' approach

All the latest updates from Westminster, as they happened

Jeremy Corbyn accuses UK of 'directing' war in Yemen

Theresa May vowed to challenge Saudi Arabia over its human rights record and its role in the Yemeni conflict as the Crown Prince flew into London for a high-profile visit.

Widespread protests greeted Mohammad bin Salman, the powerful heir to the throne, who received the red-carpet treatment on the first day of his trip, including meetings with the Queen, other senior royals and top ministers.

But the visit prompted stern criticism from Labour leader Jeremy Corbyn during Prime Minister's Questions, where Ms May also made her first public comments on the poisoning of Russian spy Sergei Skripal and his daughter Yulia.

European Council President Donald Tusk also published the EU's draft guidelines, rejecting the terms laid out by the Prime Minister in her Mansion House speech last week.

Chancellor Philip Hammond also made a speech to city bosses in London, where he insisted that a Brexit deal including financial services was possible.

See below for the latest updates

Key Points

• EU rejects Theresa May's plans for trade ban and warns UK will suffer 'negative economic consequences'
• Ms May vows to address Saudi Crown Prince over human rights as protests expected for UK visit
• Rudd says investigators know more about substance used to poison Russian spy Sergei Skripal and daughter Yulia
• Chancellor challenges Brussels 'sceptics' on prospect of a City trade deal after Brexit
• UK's trade with 70 countries will 'fall off a cliff edge' after Brexit, MPs warn

[7 March 2018 15:24 · Lizzy Buchan]

[7 March 2018 15:35 · Lizzy Buchan]

Defra permanent secretary Clare Moriarty is giving evidence to MPs about Brexit this afternoon

[7 March 2018 15:43 · Lizzy Buchan]

Former prime minister Gordon Brown called for a police investigation into allegations of blagging.

In a statement issued by his office, Mr Brown said: "According to the new evidence from John Ford - which corresponds with other information I have - there were at least 25 and up to 40 violations of the criminal law by the Murdoch group including impersonation, reverse-engineering my phone and blagging, for no reason other than to discredit someone they wanted to undermine for their own reasons.

"This new evidence shows that even when under oath, what was then News International misled the Leveson Inquiry.

"I am now calling for police to investigate this criminal wrongdoing."

[7 March 2018 15:47 · Lizzy Buchan]

[7 March 2018 16:05 · Lizzy Buchan]

[7 March 2018 16:13 · Lizzy Buchan]

The leaders of far-right extremist group Britain First have been found guilty of anti-Muslim hate crimes after targeting people they incorrectly believed were involved in an ongoing rape trial.

The group gained international notoriety when Donald Trump shared several of Fransen’s Twitter posts last year, sparking a major diplomatic row.

Story here: 

[7 March 2018 16:29 · Lizzy Buchan]

Theresa May's spokesman has rebutted claims from Jeremy Corbyn that British ministers should be held accountable for the deaths of children in Yemen (see here)

The PM's official spokesman told a Westminster briefing: "The suggestion that British military advisers are directing the war is simply not true.

"The UK is not a member of the Saudi-led coalition operating in Yemen. British personnel are not involved in carrying out strikes, directing or conducting operations in Yemen and are not involved in the Saudi targeting and decision-making process.

"We have a long-standing relationship with Saudi Arabia in terms of supporting Saudi compliance with international humanitarian law and in armed forces training."

[7 March 2018 16:52 · Lizzy Buchan]

Welcoming Prince Salman to Downing Street, the PM praised recent reforms in Saudi Arabia.

She said: "We want to work together to explore ways we can support the kingdom of Saudi Arabia to progress and intensify these reforms.

"We will also discuss how we can enhance our co-operation in tackling international challenges, including the conflict and humanitarian crisis in Yemen.

"I look forward to discussing here today how our relationship can continue to go from strength to strength."

[7 March 2018 17:06 · Lizzy Buchan]

Hundreds of protesters are outside Downing Street, according to my colleague Ben Kentish, who sends this picture from Whitehall.

[7 March 2018 17:18 · Lizzy Buchan]

Over in Brussels, the president of the European Parliament Antonio Tajani said that MEPs would not accept an agreement on a Brexit transition which did not treat all EU citizens equally.

Theresa May insists that EU citizens arriving during the transition period - expected to last until 2021 - should not enjoy the same rights to permanent settlement as those who come to the UK before the official Brexit date of March 29 2019.

Mr Tajani said: "(The European) Parliament will not accept an agreement that discriminates against European citizens who arrive in the UK during the transition."

The Italian MEP said that Ms May's insistence that the UK will leave the single market and customs union meant that "the future treaty can only be an FTA. It may go deeper than Canada or Japan but they will be the models".

Mr Tajani said he was "very concerned" that the UK had rejected the fallback option for the Irish border set out by the European Commission last week, pointing out that the UK had so far supplied no alternative solutions.