The chances of a no-deal Brexit fell in the last month because UK Prime Minister...
LONDON - The chances of a no-deal Brexit fell in the last month because UK Prime Minister Boris Johnson looks set to win a Dec. 12 election and secure the backing in parliament he needs to get his new Withdrawal Agreement passed, a Reuters poll found.
“Brexit headwinds have dissipated as the threat of no-deal in October passed and the Brexit deadline was pushed out again. The focus has clearly shifted to the UK election campaign,” said Victoria Clarke, an economist at Investec. Johnson’s Conservative Party edged further ahead of the opposition Labour Party during the past week, a public opinion poll by ICM showed on Monday.
Third spot was the more extreme option of leaving without a deal and trading under World Trade Organization rules. As in most Reuters polls, last place went to Brexit being cancelled.Britain’s departure from the EU has been delayed three times, causing huge uncertainty among investors and consumers as there was - and still is - no clear indication as to how, when, or even if the two sides will finally divorce.
The economy will barely expand in the fourth quarter, growing just 0.2%, the poll found. Growth is then forecast to accelerate to 0.3%-0.4% per quarter until the middle of 2021. Last week, the Bank of England nudged up its growth forecasts. But two of the Bank’s policymakers voted to cut rates and others could follow if growth remains weak and uncertainty about Britain’s longer-term trade ties with the EU persists.
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