European Council President Donald Tusk is proposing to offer the UK a 12-month flexible extension to its Brexit date, according to a senior EU source. His plan would allow the UK to leave sooner if Parliament ratifies a deal, but it would need to be agreed by EU leaders at a summit next week.
The UK's Conservatives and Labour Party are set to continue Brexit talks later. Attorney General Geoffrey Cox has told the BBC that if they fail, the delay is likely to be a long one.
The UK is due to leave the EU on 12 April, and as yet, no withdrawal deal has been approved by MPs. Downing Street said technical talks between Labour and the Conservatives on Thursday had been productive and would continue on Friday.
Prime Minister Theresa May has said a further postponement to the Brexit date is needed if the UK is to avoid leaving the EU without a deal, a scenario both EU leaders and many British MPs believe would create problems for businesses and cause difficulties at ports.
However, the PM wants to keep any delay as short as possible. To do that, she and Labour leader Jeremy Corbyn would need to agree a proposal for MPs to vote on before 10 April, when EU leaders are expected to consider any extension request at an emergency summit.
If they cannot, Mrs May has said a number of options would be put to MPs to determine which course to pursue.
Mr Cox told the BBC's Political Thinking podcast that particular scenario would involve accepting whatever postponement the EU offered, which was likely to be longer than just a few weeks or months.
Europe's leaders have been split over whether, and how, to grant any extension.
However, BBC Europe editor Katya Adler has been told by a senior EU official that Mr Tusk believes he's come up with an answer, after several hours of meetings in preparation for the summit.
The EU has previously said that the UK must decide by 12 April whether it will stand candidates in May's European Parliamentary elections, or else the option of a long extension to Brexit would become impossible.
Talks between Conservative ministers and Labour lasted 4.5 hours on Thursday. Mr Corbyn has written to his MPs saying discussions included customs arrangements, single market alignment, internal security, legal underpinning to any agreements and a confirmatory vote.
Shadow Treasury minister Clive Lewis told the BBC the party would not be talking to the government if a confirmatory referendum was not an option.
But 25 Labour MPs - including a number representing Leave-voting seats - have written to Mr Corbyn, saying another referendum should not be included in any compromise Brexit deal.
Asked whether another referendum on any final deal was a credible option, Mr Cox said: A good deal of persuasion might be needed to satisfy the government that a second referendum would be appropriate. But of course we will consider any suggestion that's made.
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