The second UK Parliamentary vote this week has seen members of Parliament vote against leaving the EU without a deal. Whilst the previous vote, held on Tuesday, did not allow for Theresa May's Withdrawal Agreement to pass, another vote is set for tonight in which the House of Commons will decide on whether to delay the Brexit date. With both a deal and a no-deal ruled out and Brexit just 2 weeks away, a postponement from the 29th March 2019 seems likely.
Despite investor's optimism towards a delay in Brexit which has seen the pound rise to its highest in months, any postponement and its duration would also have to be agreed upon by the EU. Representatives from the Union have stated that a reasonable justification for the request for a delay must be presented in order for the EU to grant approval of an extension.
New Brexit Deal?
Efforts towards securing a deal before the 29th March have not been abandoned, with Theresa May attempting to get her deal through by the 20th March, just one day before the EU Summit. An extension until the 30th June 2019 has been proposed should the deal pass, with a longer and undetermined delay possible if the deal is voted against once again. A longer postponement would allow time for a second referendum
Whilst the Prime Minister's terms on an extension are designed to push Members of Parliament into voting in favour of her deal, many ministers are not letting go of their principles and have announced that they would not vote for the deal if the same issues persist. In addition, four pro-EU ministers abstained from voting in yesterday's debate.
Malta's Post-Brexit Solution
Chetcuti Cauchi Advocates has recorded a number of webinars so as to help UK businesses be more prepared for the new policies which may be put into effect after Britain leaves the EU. Register to watch the recordings and learn how Malta can be a Post-Brexit solution for industries such as Advanced Manufacturing, Aviation, Pharma, Insurance, Asset Management and Banking.
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