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UK Closer to Brexit Negotiations as Lower House Backs May’s Bill

UK Closer to Brexit Negotiations as Lower House Backs May’s Bill

Daniel Dubrovsky, Strategist

Talking Points:

  • The United Kingdom’s House of Commons voted 494 to 122 to approve May’s Brexit bill
  • This bill will face the upper house of Parliament, a final vote there is expected on March 7th
  • Should the Prime Minister’s bill pass through the House of Lords, Article 50 may be triggered

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The United Kingdom took another step towards Brexit as the lower house of Parliament voted to approve Prime Minister Theresa May’s bill to trigger Article 50 of the Lisbon Treaty. The final tally crossed the wires at the end of Wednesday’s session with a grand total of 494 votes of approval against just 122.

This means that the bill will now be passed on to the upper house of Parliament. There it will face a couple of readings, possible proposed changes, a debate and vote on the final law. The last round of tallies there is expected to be held on March 7thand Theresa May’s deadline to begin the 2 year negotiation process is by March 31st.

Earlier in the day, the Prime Minister said that it was in everyone’s interest to strike the Brexit deal and that she doesn’t feel like she has a weak hand in EU talks.

While the British Pound showed a modest reaction, Analyst Martin Essex mentioned that politics rather than economics are continuing to drive the British Pound. He said that there is little reason to suppose that Sterling could move sharply in either direction as the bill moves through Parliament.

UK Closer to Brexit Negotiations as Lower House Backs May’s Bill

Chart compiled in Tradingview

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.