Lords approve Brexit Bill amendment in blow to Government

The Government has suffered a damaging Brexit Bill defeat in the House of Lords over its plans to guarantee the rights of EU citizens living in the UK.

The defeat means the EU (Notification Of Withdrawal) Bill will have to return to the House of Commons for further consideration by MPs - putting at risk Theresa May's timetable for triggering Article 50 by the end of March.

Peers voted 358 to 256 in favour of the Labour-led amendment.

The Government described the first defeat inflicted on the Bill as "disappointing", but said they were determined to overturn it in the Commons.

A spokesman for the Brexit Department said: "The Bill has a straightforward purpose - to enact the referendum result and allow the Government to get on with the negotiations.

"Our position on EU nationals has repeatedly been made clear.

"We want to guarantee the rights of EU citizens who are already living in Britain, and the rights of British nationals living in other member states, as early as we can."

Lord Howard was among those who addressed the House of Lords on Wednesday. Credit: Pool

The bill was passed to the House of Lords last month, without amendments, after Labour leader Jeremy Corbyn ordered his party to back the Government.

Viscount Hailsham was the first Tory MP to break ranks and said he would back the amendment to protect the rights of EU citizens.

He told members: "I do ask your lordships to take the high moral ground and give reassurance to the millions who have made their home here in the expectation that they will continue to live and work here."

Lord Campbell said it would be "catastrophic" for the economy if EU citizens in the UK were to be told to leave.

He said: "The consequences for the economy and so many of the services in the United Kingdom, as result of those non-British EU nationals... being no longer available [to work in the UK] would be catastrophic.

"I would rather have that on the statute rather than depend on the decision of the Home Secretary, who in five years time may no longer be in office."