EU: talks will continue on post-Brexit trade deal

The European Commission President on Sunday said talks with the UK will continue on a trade agreement - a deal that if sealed would avert New Year's chaos for cross-border traders and bring a measure of certainty for businesses after years of Brexit turmoil.

Ursula von der Leyen and British Prime Minister Boris Johnson had set Sunday as the deadline for a breakthrough or breakdown in negotiations.

But they stepped back from the brink, saying it was “responsible at this point in time to go the extra mile” and had told their negotiators to continue talking.

"We have accordingly mandated our negotiators to continue the talks and to see whether an agreement can be reached even at this late stage," von der Leyen said.

With less than three weeks until the UK’s final split from the EU, key aspects of the future relationship between the 27-nation bloc and its former member remain unresolved.

(IMAGE CREDITS:AP)