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Meanwhile, Charles Grant, director of the Centre for European Reform (CER) thinktank, revealed that commission officials are considering demanding billions more from the UK than was previously suggested. “Commission officials have told me that the amount being sought by the EU from Britain before Brexit goes ahead is likely to be significantly higher than the €60bn that has already been floated,” said the CER director.

“The cost of breaking up the euro is so high that this probably won’t be the consequence of the challenge from populism,” says Christian Odendahl, chief economist at the Centre for European Reform, a London-based think tank. “Rather, the issue is resistance to the broader European project. If populists win power on the basis of anti-euro rhetoric, countries’ willingness to work together in Europe will be constrained.”

According to Charles Grant, director of the CER, Macron wants two things from Germany. Firstly, he wants Berlin to agree to reflate its domestic economy, thereby helping not just French exporters but those of other EU countries. Secondly, he wants to complete the monetary union project by having a eurozone budget managed by a eurozone parliament and a eurozone finance minister.

“The British have been on a steep learning curve when it comes to what the red lines are and what they can reasonably expect to achieve,” said Christian Odendahl, chief economist at the Centre for European Reform. “The EU has been remarkably consistent over the last couple of months when it comes to its position.”

Charles Grant, the director of the Centre for European Reform, a pro-EU think-tank said that Germany - egged on by France - was leading the hardline on the budget issue, which Europe says must be satisfactorily resolved before it will agree to trade talks. "Some top officials suggest that they will not compromise on the €60 billion," he said, "But if the British are willing to compromise on the money, they will find the 27 willing to start talks on an FTA."

John Springford, director of research at the Centre for European Reform, explained that the economic slowdown and job losses have been less dramatic than predicted, as British consumers have kept spending on the back of their savings. In addition, he noted that Britain’s labour market has proven to be “extremely flexible”, pointing to an unemployment rate that remained under 8% during the 2007-2008 financial crisis.

Charles Grant, director of the Centre for European Reform, said he would expect Mr Macron to continue with President François Hollande’s tough approach to Brexit. “He doesn’t want the nationalists to be able to argue that coming out of the EU pays off, so Britain must be seen to suffer a bit,” he said. “Macron is also a true believer in a federalist sense.”