PEERS have delivered a heavy blow to the government’s Internal Market Bill on Monday, legislation that intended to override parts of the Withdrawal Agreement (WA) signed with the European Union.

Peers, including dozens of senior Tories, voted to strip controversial clauses from the Bill that would enable ministers to set aside key parts of the WA.

PM Boris Johnson’s official spokesman said that the government still wants the measures and that MPs would be asked to re-include them in the legislation.

The Bill will not return to the Commons until the end of November at the earliest – when Mr Johnson is expected to know whether progress has been made on a UK-EU trade deal before the Brexit transition period ends on December 31.

On Monday night, 433 peers voted against one element of the Bill, with 44 Tory rebels including former leader Lord Howard of Lympne, ex-Brexit minister Lord Bridges of Headley and former chief whip Lord Young of Cookham. Only 165 voted for it.

Devolved governments have warned that the Bill centralises economic decision-making, with devolved powers arrogated by Westminster.

Downing Street said that the measures represented a “legal safety net” to ensure free-flowing trade between Britain and the north of Ireland.

Irish foreign minister Simon Coveney said if the British government passed measures “designed to break international law” then “there will be no trade deal” between the UK and EU.

US president-elect Mr Biden, who has Irish ancestry, warned during his campaign against Donald Trump that a future UK-US trade deal was “contingent” on protecting the Good Friday Agreement and preventing a return to a hard border on the island of Ireland.