BRUSSELS (Reuters) – The European Commission on Tuesday said it would not take further action in a lawsuit filed against Britain over unilateral changes to post-Brexit trade agreements with Northern Ireland.

Brussels’ announcement comes after London’s last week called for a new compromise to resolve trade disputes with Northern Ireland following the January 1 divorce between the European Union and Britain.

Reuters learns from UK and EU circles that the UK government plans to withdraw from the Brexit deal if the EU executive does not show more flexibility in the Northern Irish protocol.

The European Union launched a breach of lawsuit against Great Britain in March, which could result in a fine after a lengthy process of more than a year.

If the European Commission rejects the theory of renegotiation of the Brexit agreement, it agreed on Tuesday to freeze its legal action.

“As per the termination request, the Commission will carefully evaluate the new proposals put forward by the UK in view of the consultation procedures required both domestically and with the European Parliament,” a spokesman said.

(Report by John Strupkowski; French edition by Jean Tersian)