The result is a huge blow for the PM, who will now be unable to deliver on his promise to deliver Brexit on 31 October “do or die”.
The prime minister is hopeful MPs will back his Withdrawal Agreement Bill over the course of just three days.
Defeat on the amendment means MPs will likely vote next week on the Prime Minister’s deal next week.
The float depicted an effigy of top aide Dominic Cummings using Mr Johnson as a puppet.
Verhofstadt, who has campaigned for Britain to stay in the European Union, said the two deals were almost identical.
Sources said negotiating teams from the EU and UK had agreed that there will be a customs border down the Irish Sea
After recent progress, the UK and the EU appear to have hit an impasse in crucial Brexit talks.
Sources told the Observer that backing for a second Brexit referendum is growing amid concerns Boris Johnson won't be able to secure a deal with the EU.
The French President staged a phone call with Mr Johnson on Sunday in which he told the Prime Minister to 'continue swiftly' if he wants to strike a deal.