Start Trading Now Get Started
Table of Contents
Affiliate Disclosure
Affiliate Disclosure DailyForex.com adheres to strict guidelines to preserve editorial integrity to help you make decisions with confidence. Some of the reviews and content we feature on this site are supported by affiliate partnerships from which this website may receive money. This may impact how, where and which companies / services we review and write about. Our team of experts work to continually re-evaluate the reviews and information we provide on all the top Forex / CFD brokerages featured here. Our research focuses heavily on the broker’s custody of client deposits and the breadth of its client offering. Safety is evaluated by quality and length of the broker's track record, plus the scope of regulatory standing. Major factors in determining the quality of a broker’s offer include the cost of trading, the range of instruments available to trade, and general ease of use regarding execution and market information.

Brexit Chaos Intensifies

By Dr. Mike Campbell
Dr. Mike Campbell is a British scientist and freelance writer. Mike got his doctorate in Ghent, Belgium and has worked in Belgium, France, Monaco and Austria since leaving the UK. As a writer, he specialises in business, science, medicine and environmental subjects.

I suppose one must try to see the bright side of things for the British PM over the latest Brexit debacle. That would be that she turned the largest defeat in British parliamentary history into the fourth biggest ever defeat when she put her withdrawal deal to the Commons last night, progress of a sort. It is unsurprising that the deal was heavily voted down again last night because, to coin the phrase, “nothing has changed”. Despite having what she claimed were legally binding changes related to the contentious element of the backstop mechanism in the withdrawal agreement, her own Attorney General, Geoffrey Cox, told parliament that the UK could still remain “trapped” in the backstop which was enough to persuade Brexit supporting MPs to join opposition ranks and vote it down, again.

With just 16 days to go until Brexit happens, things are in a mess. There is talk that May may have a third attempt to pass the bill, but that seems to be an unrealistic prospect. Today, MPs will vote on whether to allow the UK to leave the EU without a deal and it is expected that a hefty majority will vote against such an outcome. May was at pains to say that such an outcome would not preclude a “no deal” exit, but would stop it for now. Parliamentarians are able to amend the legislation, of course, so it will be critical to see what form of words is finally passed tonight.

Assuming that “no deal” is ruled out then a further vote is to be held tomorrow to call for an extension to the notice period under Article 50. Here we move into uncharted waters. As things stand, an extension requires the unanimous backing of the EU states and consequently, all the UK parliament can do is to make a request. EU states have been clear that any extension must be accompanied by substantive reasons although they have not spelled out exactly what is required. Plainly, a further referendum in the UK would gain the backing of the EU, but parliament has yet to endorse such a path.

The most likely scenario to a further vote would be along the lines of a proposed amendment (the Kyle amendment) which would provide tacit backing of May’s withdrawal deal, but on the proviso that it gained public backing in another vote where the choice given to the electorate is to accept May’s deal and leave the EU (on those terms) or to determine to remain an EU state. This amendment has yet to get off the ground, but it is surely a viable alternative.

The UK political world is highly volatile at the moment and nobody is making any firm predictions about how events will unfold. More, undoubtedly, tomorrow…

Dr. Mike Campbell
About Dr. Mike Campbell
Dr. Mike Campbell is a British scientist and freelance writer. Mike got his doctorate in Ghent, Belgium and has worked in Belgium, France, Monaco and Austria since leaving the UK. As a writer, he specialises in business, science, medicine and environmental subjects.
 

Most Visited Forex Broker Reviews