- UK's Prime Minister Johnson is confident that UK lawmakers will back his Brexit deal.
- Markets may not be so convinced until the fact which means uncertainty for GBP.
UK's Prime Minister Johnson is commenting after a decision by Leaders of 27 EU countries to formally endorse the new Brexit agreement with the UK.
Key comments:
- Says this is a great deal for our country.
- Says it means we in the UK can come out of the EU as one United Kingdom.
- I don't think there is any case for a Brexit delay.
- This is a great deal for our country.
- It means we in the UK can come out of the EU as one United Kingdom.
- We can also build now on our relations with the EU.
- The extraction having been done, the building now begins.
- It is the chance to get brexit done.
- It is a chance to focus on the people's priorities.
- Brexit has been long, painful and divisive.
- It is time for our parliamentarians to get this thing done.
- I think there is a very good case for MPs to get Brexit done.
- I don't think there is any case for delay.
- It is a good deal for Northern Ireland.
- Says Northern Ireland will be able to do free trade deals with rest of UK.
- Will be making further announcements about the vote in due course.
- Confident UK lawmakers will back his Brexit deal.
FX implications:
While Johnson is confident that UK lawmakers will back his Brexit deal, markets may not be so convinced until the fact, and that means uncertainty for GBP accompanied by volatility. GBP/USD has rallied towards the 1.30 handle and to the highest levels since May of this year.
The DUP leader, Nigel Dodds, has already criticised Mr Johnson. Dodd told the BBC News: "If he'd held his nerve - and held out - he would, of course, have got better concessions which kept the integrity, both economic and constitutional, of the UK." The BBC News reported that he said he expected 'a "massive vote" against Mr Johnson's deal on Saturday in the House of Commons - and the DUP expected to "play a crucial role" in amending the legislation.'
Boris Johnson’s deal avoids a worse outcome, but winning parliamentary approval for the economically costly plan will be a tough one.
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