May’s Deal Hinges On DUP

GBP

Sterling strengthened on Tuesday after comments made by Jacob Rees-Mogg indicating that a no deal Brexit could be off the table. The chairman of the ERG went onto say it was difficult to see the U.K. leave the EU without a deal and the two options remain of May’s current deal or no Brexit at all. Moreover Rees-Mogg said he was ready to back May’s deal as long as it had the support of the DUP.

Furthermore, MPs have set out details of their plan to consider other Brexit options. Wednesday will see a series of votes in the House of Commons as MPs are trying to put forward different ideas regarding the current Brexit process. Speaker John Bercow will decide what is voted on, although proposals for closer economic ties with the EU and a second referendum could be possibilities.

A series of indicative votes will take place on Wednesday, a process which could take up till next week to complete. Even if a MPs select an option, May still needs to approve of the option in which the government can then implement which could be key in getting the current deal over the line.

May still wants to hold a third meaningful vote this week but will only hold a vote if she believes she has a majority backing. Some Tory Brexiteers are willing to back May’s deal in order to prevent a lengthy extension. However the DUP urged Tory MPs to ‘stand firm’ in their opposition unless there was ‘significant changes’ made.

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