The Prime Minister has said today that the Brexit bill payment is conditional on a good trading agreement from the EU.

She said she and Taioseach Leo Varadkar want to endure that the trade deal means there will be no hard border on the island of Ireland.

Responding to Labour leader Jeremy Corbyn she said that the UK isn’t looking for a deal like Norway or CETA, rather “a deal that is right for the United Kingdom.”

She also hit out at the Opposition saying Labour’s approach to Brexit would mean continued payments to the EU forever, no control over laws applying to the UK and no control over borders.

The Prime Minister had already told her MPs that Britain wouldn’t pay up unless a good trade deal is agreed in a letter to her parliamentary party.

She wrote: “We have agreed a fair settlement of commitments we have made while a member of the EU, in the spirit of our future partnership.

“It depends upon a broader agreement being reached – as I have said, nothing is agreed until everything is agreed – so if there is no agreement then our offer also falls away.”

She also made clear in the letter that the £35-£39bn figure was well before the £50bn the European Commission had wanted.

The Prime Minister struck an optimistic tone when she updated MPs this afternoon after reaching a last minute agreement with EU bosses on key divorce issues.

But she is reiterated the draft terms do not commit the UK to anything until the final deal is signed and sealed. 

Mrs May said the government will uphold the Belfast agreement in full and affirmed the importance of upholding the agreement.

The report reaffirms the guarantee that there will be no hard border between Northern Ireland and Ireland.

After her speech, SNP MP Ian Blackford asked Theresa May to confirm there would be no hard border between Northern Ireland and the Republic of Ireland, but Mrs May told the MP to “google it” as she’d already spoken on the matter.

She said: ”He asked me to confirm in this House that there will be no hard border between Northern Ireland and Ireland.

"I have to say to him this is not the first time I have made this statement in this House. He can Google it and find from Hansard how many times I have said it.

"Indeed, if he listened to my statement and looked at my statement I said the joint report reaffirms our guarantee that there will be no hard border between Northern Ireland and Ireland."

She said it was right to take time to listen to the concerns of the DUP.

The Prime Minister also said  if a new partnership with the EU is not possible, the government will take special steps to ensure there is no hard border in Ireland.

She said: “The United Kingdom remains committed to protecting North-South cooperation and to its guarantee of avoiding a hard border.”

Her comments come a day after remarks from David Davis were met with a fierce backlash from officials in Ireland. 

The Brexit Secretary said the last-minute deal reached on Friday outlining Britain’s divorce terms was “more a statement of intent” than a “legally enforceable thing”.

But this was blasted as “bizarre” by Irish government chief whip, Joe McHugh, who questioned the point of the agreement if it was not binding. 

He told RTE: "We will as a government, a sovereign government in Ireland, be holding the United Kingdom to account, as will the European Union.

"My question to anybody within the British Government would be, why would there be an agreement, a set of principled agreements, in order to get to phase two, if they weren't going to be held up? 

“That just sounds bizarre to me.

"This, as far as we're concerned, is a binding agreement, an agreement in principle."

UK and EU negotiators reached an agreement on the so-called divorce bill, citizens’ rights post-Brexit and the Irish border on Friday.

The Government has yet to reveal the final figure for the bill, though it is believed to be in the region of £39bn. 

But during an interview on The Andrew Marr Show yesterday, Brexit Secretary Mr Davis said Britain would not need to pay a penny if a trade deal with the bloc cannot be reached.

He said: “No deal means that we won’t be paying the money. It has been made clear by Number 10 already.

"This was a statement of intent more than anything else.

"Much more a statement of intent than it was a legally enforceable thing."

Theresa May also told the House of Commons that the Brexit deal is “good news" for both Brexiteers and Remainers.

She said: "I have always been clear that this was never going to be an easy process. It has required give and take for the UK and the EU to move forwards together.

"And that is what we have done. Of course, nothing is agreed until everything is agreed.

"But there is, I believe, a new sense of optimism now in the talks and I fully hope and expect that we will confirm the arrangements I have set out today in the European Council later this week.

During questioning after her speech, the Prime Minister May suggested a transition agreement might not be agreed until end of March, but she said the government is still committed to amendment to EU bill specifying 29 March 2019 as Brexit date