Brexit and the General Election
Politics is in the news once again as Theresa May announces an early general election on June 8. MPs have voted and a majority has agreed to the election, but what impact will this have on Brexit?
It may be hard to believe that it’s only two years since David Cameron won a majority at the 2015 general election as so much has happened since then. Some commentators have stated that the general election will push back Brexit negotiations. In fact, the President of the European Commission, Jean-Claude Juncker, has commented that Brexit discussions will only start after the snap elections.
It is important to remember that Brexit is not solely about negotiations between the EU and the UK. The Government has to prepare Whitehall to be ready to fill in the gaps left by leaving the EU and this takes a lot of work preparing programmes of legislation and considering the impact of the same. During a general election the UK enters purdah, being the pre-election period where central and local government is brought to a stop until the final election results are announced – typically a six week period. Therefore leaving the UK with even less time to concentrate on Brexit.
Perhaps calling a general election will help to unify the approach to Brexit and provide some clarity as to the Prime Minister’s mandate, which in turn could help her negotiating stance – should she win the election.
Market analysis since the Prime Minister’s announcement indicates sustained uncertainty surrounding the economy. With only seven weeks to go this promises to be another exciting chapter yet to be written in the history books.