The 27 leaders without Britain will declare that there is not "sufficient progress" on divorce issues such as the exit bill to formally move onto the next phase, including a post-Brexit trade deal, according to a draft statement obtained by AFP Thursday.
Barnier that he was unable "in the current circumstances" to ask the European Council for permission to begin progressing talks and discuss the UK's future relationship with the EU.
Should that happen, it said the EU 27 would "adopt additional guidelines in relation to the framework for the future relationship and on possible transitional arrangements which are in the interest of the Union".
However, Barnier said London was failing to spell out just what it was ready to pay.
However, Barnier said there had been progress in other areas, including citizens' rights, and he hoped there will be positive developments within the next two months.
Foggy morning and cloudy afternoon with cool temperatures
High pressure brings bright sunny skies for a few days, and seasonable highs in the lower and middle 60s. SATURDAY: Partly cloudy skies and warm temperatures continue, with a high temperature of 82 degrees.
While that is unlikely to happen, Barnier has been pushing member states for making a gesture towards the United Kingdom by pledging to "scope" the positions on transition within the EU-27.
The French politician did offer one olive branch to the United Kingdom negotiators, who are seemingly preparing to blame the European Union for not being flexible enough with the sequencing of the talks.
"There is a new momentum and I remain convinced today, with the political will, decisive progress is within our grasp within the next two months", he said.
Germany, France and Romania are said to be blocking Mr Barnier from starting scoping on a transition deal with Britain, with Berlin in particular keen to secure cash promises from the United Kingdom first. We confined ourselves to technical discussions - useful discussions, but technical discussions.
Davis said there is more work to do on the border between the Republic of Ireland and Northern Ireland but further progress has been made as they "have agreed to start working on common undertakings to protect the Good Friday agreement".