New PM Pending

GBP

Boris Johnson is expected to be elected leader of Britain’s governing Conservative Party and the country’s next prime minister on Tuesday, tasked with following through on his “do or die” pledge to deliver Brexit in just over three months time.

Voting closed at 1600 GMT on Monday and the result is due to be announced on later this morning. The winner will formally take over as prime minister on Wednesday afternoon, succeeding Theresa May, who stepped down over her failure to get parliament to ratify her Brexit deal.

Johnson, a former London mayor who resigned as foreign minister a year ago over May’s Brexit plans, is the clear favourite to replace her, with several polls putting him on around 70 percent. He will inherit a political crisis over Britain’s exit from the European Union, currently due to take place on Oct. 31. Johnson must persuade the EU to revive talks on a withdrawal deal that it has been adamant cannot be reopened, or else lead Britain into the economic uncertainty of an unmanaged departure.

The only deal on the table has been rejected three times by parliament and many lawmakers – including pro-EU rebels in the Conservative Party – are also vowing to block Johnson trying to take Britain out of the EU without a deal.

Johnson is not likely to start announcing key ministerial appointments until Wednesday, but his victory in the leadership contest is expected to prompt several resignations in the deeply divided Conservative Party.

Key Announcements

None