Brexit talks stalled after UK PM rejects EU's improved solution to Ireland

British Prime Minister Theresa May is set to reject an improved offer from the European Union on how to solve the operation of the Irish border after Brexit, the Times newspaper reported on Wednesday.

May will tell EU leaders meeting in Salzburg, Austria that any solution must be for the entire United Kingdom and that her existing "Chequers" proposals were designed to address this, the Times said.

Sterling slid around half a cent against the dollar after the report and was last trading at $1.313.