UK: No progress on Brexit deal – Danske Bank

On Friday, UK PMI Theresa May addressed UK citizens after the EU summit failed to make progress on the Brexit deal, notes the research team at Danske Bank.

Key Quotes

“May was hawkish on the Irish border discussion and awaits a counterproposal from the EU. She said that 'no deal is better than a bad deal' and that the UK continues to prepare in case of a no deal.”

“Media reported that aides of PM May have been said to plan for a possible snap election in November for May to gather support for a new Brexit plan. That said, we continue to expect a 75% chance of a 'decent' Brexit, although in a no-deal Brexit the overall impact on the Nordic economies are somewhat small yet potentially large for specific sectors.”

“The uncertainty regarding Brexit will be high and remains the key driver for GBP.”