The government tabled an amendment to the EU Withdrawal Bill on Thursday following crunch talks with pro-EU Conservative backbenchers.
The group, spearheaded by former attorney general Dominic Grieve, are demanding a greater role for the House of Commons in the event Prime Minister Theresa May fails to agree a Brexit deal with the EU.
This includes a call for a more "meaningful vote" on the Brexit process for MPs.
However, Mr Grieve told Sky News the government's attempt to make their proposed compromise agreement unamendable is "not a satisfactory state of affairs".
Yet, the Conservative backbencher added the group of rebels are "not going to rush" a decision on their next steps, as he stressed a need to be "sensible".
Fellow Brexit rebel Anna Soubry accused the government of having altered a compromise agreed earlier in the day.
She posted on Twitter: "I understand the Govt has tabled an amendment that has not been agreed by Dominic Grieve.
"Grateful for the conversations but without consultation what was agreed earlier today has been changed."
Sarah Wollaston, who is also unhappy with the current state of the government's flagship Brexit bill, claimed the compromise agreed with ministers had "acquired a sneaky sting in the tail" by the time it was formally tabled.
Signalling rebels will seek to remove the unamendable nature of the government's proposal, she tweeted: "Would be funny if only it wasn't such a serious issue, preventing the most destructive Brexit matters to the majority in parliament.
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"There is no attempt here to overturn the referendum or to micromanage the negotiations simply that the majority of MPs will not support a cliff-edge no-deal Brexit & will insist on a meaningful vote."