DUP could be handed ‘MILLIONS’ to back May’s deal — BREXIT SHOCK

16 March, 2019, 18:41 | Author: Myra Gill
  • UK Parliament votes to delay Brexit but rejects second referendum

Goldman Sachs (NYSE:) said it sees a 55 percent probability of Prime Minister Theresa May getting a Brexit divorce deal ratified even though parliament overwhelmingly rejected the deal for a second time.

Using a threat of a lengthy extension to Article 50, she has made clear that her negotiated divorce deal is still on the table and seeks to push rebel lawmakers into supporting it, despite having had it rejected twice - in January by a historic margin, and again earlier this week, on Tuesday. May has reached with European leaders. "Those discussions will continue over the coming period of time". She would argue that the time is needed to help prepare an orderly departure and commentators think the European Union would probably agree.

However, the difficulties of negotiating the divorce deal without opening up negotiations on future trading terms have led to problems over European Union insistence on a "backstop" insurance policy for the border that has caused British lawmakers to refuse to ratify the deal. The backstop intends to avoid such a scenario.

The central issue of the opposition is the backstop.

Cabinet Office Minister David Lidington said the likelihood of a no-deal Brexit had "diminished" with Thursday's votes. So if the United Kingdom fails to reach a trade agreement with the EU during the transition period and the backstop comes into effect, the United Kingdom will effectively continue within the customs union. Hard-Brexiteers call it a trap. Speaking to the BBC's Political Thinking podcast, Ms McVey said: "The element now is that people will have to take a bad deal rather than no deal".

She said Friday's rise was also down to some adjusting of positions, with traders likely reluctant to get caught out should sterling-positive news break over the weekend.

Meanwhile, Jeremy Corbyn and the SNP's Westminster leader Ian Blackford have exchanged letters seeking a meeting to work together on an alternative Brexit plan. May's resignation and fresh election and promised to renegotiate a new deal with the EU.

They included the Brexit Secretary Steve Barclay, the Welsh Secretary Alun Cairns, the International Trade Secretary Liam Fox, the Transport Secretary Chris Grayling, the Commons Leader Andrea Leadsom, the International Development Secretary Penny Mordaunt, the Chief Secretary to the Treasury Liz Truss and the Defence Secretary Gavin Williamson. That left Britain facing a disruptive "no-deal" exit from the bloc on March 29, when a two-year countdown to the country's departure runs out.



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