Brexit goes into next round

Also Interesting

• Our tactical and strategic view
• Cannabis 2.0- Investing in Todays Regulated Industry
• Geopolitical rupture in Europe: long-term investment implications

Week Ahead 

By Monday, Theresa May must present Plan B to the British Parliament for how to proceed after the clear rejection of the divorce package negotiated with the EU. It currently does not look like there will be any magic bullet. Rather, the Prime Minister will have to laboriously sound out all parties to see if a majority can be found for an amended deal. A new proposal will then be put to the vote on January 29. It is our view that the chances of success are poor. The EU has already signaled that there is little room for maneuver in negotiations and Theresa May will have to bring significantly more than 100 MPs to her side after the devastating defeat this week. Labour, the largest opposition party, has already announced that it will not enter into talks. In addition, the clock is ticking. There are already only 70 days left before Brexit if negotiations are not extended, which requires unanimous EU approval, or if Brexit is called off, which the UK could decide unilaterally. The latter seems very unlikely.