Trying to bluff the EU that if it did not change its rules the UK would fall into a no deal - WTO rules. The government knew the massive damage trading under WTO rules would cause. Not to influence the EU, but to pander to the thickos who thought WTO rules were ever an option. In particular, the government had no idea what trading under WTO rules meant. It needs to be remembered that every project team in most government departments had to be reassigned to Brexit work.
Source: The Guardian June 27, 2023 22:21 UTC