Britain's Brexit minister David Frost has said that the European Union needs to make significant change if there is to be a deal over the Northern Ireland Protocol.
The EU on Wednesday offered Britain a package of measures to ease the transit of goods to Northern Ireland.
Mr Frost made clear the EU's proposals as they stand were ultimately unacceptable as London wanted a major concession from Brussels on the role of the European Court of Justice oversight in Northern Ireland, Politico reported.
"They will need to if we are to find a solution, there needs to be significant change if we are to get an agreed solution," Mr Frost said in an interview with Politico.
"All I can say is the governance issue needs to be addressed seriously and if the EU are willing to have a conversation about that on which they move off existing positions obviously we will be happy to have that conversation," Mr Frost said.
British Prime Minister Boris Johnson signed up to the Northern Ireland Protocol as part of his Brexit agreement in 2020, but has since argued it was agreed in haste and was no longer working for the people of Northern Ireland.
Mr Frost has for months called on the EU to allow some changes to the protocol to ease trade in some goods between Britain and Northern Ireland.
Responding to claims that the UK is trying to tear up an international treaty, including allegations from former chief Downing Street adviser Dominic Cummings that it was always the intention to ditch the protocol, Mr Frost said the government knew some elements of the arrangements would "possibly be difficult to make work in practice" and they were always viewed as "a little bit provisional and open to review".
He insisted movement on the ECJ is needed.
Rejecting a claim that the UK is acting in bad faith, the Brexit minister added: "Obviously the protocol was agreed at a particular moment. We knew that some elements of the protocol would possibly be difficult to make work in practice, and some aspects of it were left open for the discussions in 2020 and afterwards.
"I don't think it's surprising that we found that that was the case ... the very fact that the protocol has a consent mechanism (in the Stormont Assembly) in it for four years' time showed we recognised that it might be necessary to renew or otherwise consent for these arrangements.
"In that sense they have always been a little bit provisional and open to review."
European Commission vice president Maroš Šefcovic has said discussions around the protocol will not be a renegotiation.
The Commission has laid out measures to slash 80% of regulatory checks and cut customs processes on the movement of goods, especially food and farming produce, between Britain and the island of Ireland.
Mr Šefcovic said yesterday: "I have no mandate to renegotiate the protocol … the withdrawal agreement, protocol and trade and cooperation agreement, we signed it, we ratified it, it's international law and I think we should respect it."
Christmas gifts will be available, says UK transport minister
Meanwhile Britain's transport minister Grant Shapps has said he is confident people would be able to buy gifts at Christmas after shipping containers carrying toys and electrical goods were diverted from the country's biggest port because it was full.
Maersk, the world's largest container shipping company, earlier this week diverted some vessels from Felixstowe port in eastern England because a lack of truck drivers means there is nowhere left to stack containers.
"People will be able to get things for Christmas," Mr Shapps told Sky News.
"When I talk to the ports they said it is a busy picture, but if you compared us with lots of other ports around the world, we need to keep this in proportion, things are flowing."