|

UK PM May to ask war cabinet to concede to customs union Brexit - The UK Telegraph

As reported by the UK Telegraph, UK Prime Minister Theresa May is set to ask her cabinet to push through a customs union agreement on Brexit, as May's opponents threaten to tear down her government.

Key highlights(via the Telegraph)

Theresa May will on Thursday ask her Brexit “war Cabinet” to agree a backstop plan that would keep Britain in a customs union with Brussels until a permanent trade deal can be agreed.

British and EU negotiators are understood to have agreed in principle to an all-UK backstop plan to avoid a hard border in Northern Ireland that would remove the final major obstacle blocking a withdrawal agreement.

Boris Johnson said the deal would turn the UK into a “permanent EU colony” and the DUP angrily threatened to break its confidence and supply deal with the Conservatives and potentially bring down the Government if the Prime Minister goes through with the plan, which it described as a “sell out”.

The backstop plan being proposed by Mrs May would involve the whole of the UK remaining in a customs union with the EU while negotiations over a free trade deal take place, which Brexiteers fear could take years.

Michel Barnier, the EU’s chief Brexit negotiator, said yesterday that a deal on the Withdrawal Agreement is “within reach”, but only if Britain remains in a customs union with the EU.

Writing in the Telegraph, Sammy Wilson MP, the DUP’s Brexit spokesman, said Mrs May was pursuing “the road to parliamentary defeat” because his party would vote against any deal that included the proposed backstop.

Author

Joshua Gibson

Joshua joins the FXStreet team as an Economics and Finance double major from Vancouver Island University with twelve years' experience as an independent trader focusing on technical analysis.

More from Joshua Gibson
Share:

Editor's Picks

EUR/USD looks to regain the 200-day SMA

EUR/USD regains some balance and trade just above 1.1600 the figure ahead of the opening bell in Asia. The pair initially dipped to the 1.1530 zone for the first time since November, always following the stronger US Dollar and the marked flight-to-safety in the context of the ongoing Middle East crisis
 

GBP/USD attacks 1.3300, refreshing three-month lows

GBP/USD is deep in the red near 1.3300, accelerating its downside to renew three-month lows in European trading on Tuesday. The ongoing escalation in the Iran war, combined with rising Oil prices, weighs negatively on the higher-yielding Pound Sterling as the US Dollar capitalizes on increased haven demand.

Gold bounces off lows, back above $5,100

Gold remains on the defensive, eroding part of the recent multi-day advance and managing to trade back above the $5,100 mark per troy ounce on Tuesday. The precious metal initially dropped just below the critical $5,000 threshold on the back of the persistent strength of the Greenback, higher US Treasury yields across the curve and investors' repricing of Fed rate cuts.

Ethereum: Whales step up buying as short positions contract

After holding firm heading into the last weekend, Ethereum whales have returned to action, pouncing on the volatility stemming from escalating military actions between the US and Iran.

Energy shock 2.0: Why rising Gas prices could hit the Euro

Even without a confirmed, sustained disruption, the mere risk to a key global energy chokepoint is enough to inject a significant premium into European Gas markets. And for the Euro, that matters.

Ripple falters amid sell-off jitters and negative funding rates

Ripple (XRP) has come under pressure, drifting lower to $1.35 at the time of writing on Tuesday. The over 2% correction looks poised to erase the previous day’s gains, which lifted the remittance token to $1.42.