Britain's offer of £39 billion to the European Union will be off the table if a trade deal is not agreed, David Davis has warned.

The Brexit Secretary said the payment would be "conditional on an outcome" over trade negotiations.

He warned on Sunday that "no deal means that we won't be paying the money."

Mr Davis's comments came after Chancellor Philip Hammond said it would be "inconceivable" that the UK would fail to honour its international obligations.

But speaking on the Andrew Marr show, Mr Davis qualified the content of this week's Brexit deal agreed between Britain and the EU.

The total sum of Britain's departure bill from the EU has been criticised by many hard-line Brexiteers.

But Mr Davis indicated that the figure would only be paid in the event of successful trade negotiations.

Pressed on Mr Hammond's remarks, he said: "No. It is conditional on an outcome. I am afraid that wasn't quite right.

"It is conditional. It is conditional on getting an implementation period. Conditional on a trade outcome.

"No deal means that we won't be paying the money."

But Mr Davis said the chances of Britain leaving the EU without a trade deal had now "dropped dramatically".

Talks on trade are set to commence in the coming months.