MPs rejected the Prime Minister's deal by 391 votes to 242 last night (Tuesday), throwing her Brexit strategy into further confusion.
Theresa May has been described as a "rabbit in the headlights", too frightened of Brexiteers in her party to really say how bad no-deal would be for country, according to a Labour MP.
"If, as expected, a no deal Brexit is rejected, tomorrow we will get a third vote to decide if Brexit should be delayed for a "short, limited" time".
Mrs May said a customs union was part of proposals put forward by Labour but argued these had "already been rejected" by MPs.
Theresa May has claimed she still understands the voice of the country on Brexit despite losing her own.
The Prime Minister dashed to Strasbourg on Monday in a bid to secure legally-binding changes to the backstop, which was aimed at preventing a hard Irish border.
Downing Street said the PM's focus was "getting on with the work required to allow MPs to support the deal and to bring this stage of the process to an end".
Dame Caroline had attempted to withdraw her amendment, but it was moved by fellow signatory Yvette Cooper and won the support of a majority of MPs during a string of crunch Brexit votes on Wednesday evening.
Mrs May said the plan was unworkable, highlighting how any transition period would require a deal with the EU.
MPs who voted against: Mr Kyle (Hove), Ms Lucas (Brighton Pavilion), Mr Russell-Moyle (Brighton Kemptown), Mr Smith (Crawley).
Mrs May said that the choices facing the United Kingdom were "unenviable", but because of the rejection of her deal, "they are choices that must be faced".
"If this deal narrowly scrapes through tonight - I don't think it will - we believe the option should be to go back to the people for a confirmatory vote on it", Corbyn said, suggesting there is little sign that Labour will reactivate the idea soon. Last night, along with most MPs, I voted against the Prime Minister's Deal.
In his concluding remarks, he said: "The Prime Minister's deal has failed, she no longer has the ability to lead, this is a rudderless Government in the face of a huge national crisis". "The British public were asked by Parliament if they wanted to leave, they said they wanted to leave, so Parliament needs to show that it will deliver that".
She said: "It was obvious she was going to be facing another crushing defeat".
And if that is rejected too, they will have a chance to vote tomorrow on delaying Britain's departure from the European Union by extending Article 50.
"We owe it to the country to provide them with a government that can govern", he said.
"People absolutely need to hold their nerve and trust that there are enough of us in Parliament on both sides that are fighting for a deal that doesn't damage our economy".
"That funding is being used to ensure we have preparations for a no deal".