No-deal Brexit results in the pound jumping to highs

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The pound jumps to a nine-month high, last seen in June 2019, due to Parliament’s rejection of Brexit deal  

The pound can now traded in at a value of $1.3380, levels were only seen to be this seen high back in June of 2018. The figure is up from a former low of $1.3064, which it had been priced as a week before the rejection of the Brexit deal. The euro currently stands at 84.725 pence, which is at its lowest since mid-2017.  

MPS have paved the way for another vote on whether to try and delay the enforcement of Brexit as they rejected the idea of leaving the EU without a deal in any circumstance. This will lead to a long delay on Brexit which may eventually reverse the results from the referendum in 2016. 

City of London Corporation policy chairwoman Catherine McGuinness stated the MPs “voted in the interests of businesses and households,” and the decision to reject leaving the European Union without a stable deal is a “victory for common sense.” 

Catherine McGuinness expanded in stating: “Crashing out of the European Union without a deal would be an unprecedented act of self-sabotage. However, in order to starve off this costly economic own goal, Parliament now needs to act swiftly to make rejection of no-deal a reality by voting to extend Article 50 and give breathing room for a solution to be found.” 

Director-general of the British Chamber of Commerce (BCC), Dr Adam Marshall, also commented that the exit from the EU might become “messy and disorderly.  

He added: “The reality is that without action, businesses still face an uncontrolled exit that they neither want nor are ready for. Extending Article 50 is now a necessity, but it’s no silver bullet for businesses, many of whom fear endless uncertainty.” 

“A deadline that is continuously pushed back isn’t a deadline; it’s an invitation to cancel investment, stop hiring or move UK operations somewhere else.” 

Theresa May is pushing lawmakers to vote again on a deal they have rejected twice. 

Navkiran Bains 

Easy Softonic

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