With the “meaningful vote” in the UK Parliament on Tuesday the 11th and the final EU summit on the 13th and 14th of December, businesses should be prepared for all possible outcomes given there is a strong possibility the vote will fail in the UK parliament.
The Pound has been negatively affected by ongoing concerns of a disorderly Brexit.
If the draft Brexit deal is not passed through the House of Commons, our experts see four potential scenarios:
- Disorderly/Hard Brexit
- Delay departure, seek an extension of Article 50 or revoke Article 50 and stay in the EU
- Put to vote – hold another public referendum/force a general election
- Try another attempt to get a majority in the house of commons
With the BoE’s financial assessments of the potential outcomes of the vote failing fresh in our memories, the HiFX Brexit Barometer has been developed by our currency experts and looks at the potential impact this could have on the pound in relation to the uncertainty surrounding the outcome.
As Theresa May tours the country in the lead up to the “meaningful vote” on the 15th of December, we can expect to see significant volatility in Sterling, in the event of a ‘disorderly Brexit”.
Whatever happens, our currency experts will be monitoring events as they happen.
Nobody can predict for sure what will happen next, or how the UK will be impacted once a deal has, or has not, been reached. It seems reasonable to assume that there will be volatility for the Pound whilst the deal is being negotiated. You can view our countdown to Brexit Timeline here.
We can be your eyes and ears in the market, with a range of currency tools to help you monitor market movements. With a HiFX account, you can also create personalized Rate Alerts to let you know when your desired exchange rate becomes available.
If you’d like to discuss your situation with us in more detail, please contact us and our team will be happy to help.
This article was originally published on https://blog.xe.com/introducing-the-xe-brexit-barometer/
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