2019-12-16 12:27:241970-01-01 00:00:00

UK No-Deal for Brexit

On Tuesday (June 25), Boris Johnson, the former foreign secretary and popular UK Prime Minister candidate, told the public in an interview that he believes the British parliament will now support Brexit with even with a no-deal approach. Johnson commented that  “I think Parliament now understands that the British people want us to come out. And I think that MPs on both sides of the House also understand that they will face mortal retribution from the electorate unless we get on and do it.” In his view, the backlash that both the Conservative Party and opposition Labour Party received during the European elections allowed more members of parliament to decide to get Brexit done, even if it embraces a no-deal. 

However, this was defended by some senior figures in the Conservative Party who warned they could stop a non-agreement Brexit. Tobias Ellwood, the Defence Minister, told the BBC that he was certain he had the numbers to stop a no-deal Brexit. In an earlier interview, the Defence Minister said, “I think a dozen or so members of Parliament would be on our side, would be voting against supporting a no deal, and that would include ministers as well as backbenchers.” Moreover, Ken Clarke, the former Chancellor of the Exchequer even threatened to vote against the government in a confidence vote if it is necessary. 

 

The conflict on the issue of Brexit 

The U.K. political sphere had experienced an “awkward moment”, Prime Minister Theresa May resigned on 7 June. Earlier in March, May committed to stepping down as Prime Minister which was related to her repeated attempts to achieve a Brexit deal. In the past three years, May completed an impossible task on forming the draft of the complicated “Brexit Agreement” with the EU after a series of tough negotiations. However, there are significant differences of opinion inside the Conservative Party and within the UK on the issue of “Bremain” and “Brexit”, “soft off” and “hard off”. In 2018, the “May Brexit” caused serious confrontation within the cabinet and inside parliament.

 One of the issues is the border issue between Northern Ireland and Ireland has not been resolved. After Brexit, Northern Ireland and the Republic of Ireland would not have borders, making Northern Ireland still a member in the EU single market and tariffs. 

Moreover, the U.S. president Donald Trump criticized Theresa May’s Brexit policy publicly, in allowing the EU “to have all the cards” in the negotiations. Last July, when President Trump first visited the U.K. he indicated that the way Theresa May treated the EU was “too weak” with regards to the issue of Brexit. Trump even warned that keeping the U.K. in the European single market would prevent the U.K. from maintaining closer trade relations with the U.S. At the beginning of this month, Trump expressed his support of Conservative MP Boris Johnson and Brexit leader Nigel Farage in his second visit to the UK. He commented these two hard Brexit supporters “did a good job”. In the end, May has chosen to resign after her plan was rejected for the third time in parliament.

Boris Johnson’s Brexit policy

In the interview, Boris Johnson told BBC’s Laura Kuenssberg that regardless of whether an agreement was reached or not, he will ensure a plan to deliver Brexit by end of October. He said his pledge is to leave the European Union on October 31. In terms of the Irish border, the former foreign minister stated that “nobody believes the hard border will be necessary, there are abundant technical fixes”.  As a leader of the hard-line Brexiters, Mr Johnson has been constantly criticising Theresa May’s Brexit agreement. He even resigned as the foreign minister in July 2018, because of the disagreement with May on her Brexit policy. 

Although the focus of Johnson’s campaign is Brexit, Jeremy Hunt suggested to the BBC that there is “no trust” in Boris Johnson to fulfil his promises. Hunt is a candidate for Leader of the Conservative Party and has served as Secretary of State for Foreign and Commonwealth Affairs since 2018. He described the scheduled 31st of October was a “fake deadline” and announced to renegotiate the withdrawal agreement with an alternative arrangement to the Irish backstop. In his view, this is an approach “not too different to what Boris wants”. Nonetheless, Borris Johnson and Jeremy Hunt will start a decisive battle, with the final result to be announced soon after July 22nd.

By Steven Gao

Click here for a 7 days access to our Lotus Blue Portal.

KOSEC Terms & Conditions

Kodari Securities Pty Ltd (CAR 399556) trading as KOSEC is regulated by the Australian Securities and Investment Commission (ASIC). KOSEC is a financial services company and any information provided by its platforms, portals, reports and documents is protected by copyright. Any unauthorised production of this information is prohibited.
KOSEC reserves the right to change or remove any information provided on our website, reports or any documents including these terms and conditions at any time without notice. The change or modification to the terms and conditions will be effective immediately upon posting an updated version on our website, necessary platforms and documents. It is recommended that you review the information provided on our website, including these terms and conditions frequently for any changes.

Disclaimer
KOSEC provides general advice only. The information provided is of a general nature only and does not take into account your individual objectives, financial situation or needs. It should not be used, relied upon, or treated as a substitute for specific professional advice. KOSEC recommends that you obtain your own independent professional advice before making any decision in relation to your particular requirements or circumstances. Please make sure you read our Financial Services Guide (FSG).

KOSEC does not guarantee any returns. Past performance of any product discussed is not indicative of future performance. (We urge that caution should be exercised in assessing past performance. All financial products are subject to market forces and unpredictable events that may adversely affect their future performance). Investing in the stock market can incur huge losses. Please also be aware that fees will incur on every transaction regardless of the performance of your investments or returns generated. Employees and or associates of KOSEC may hold one or more of the stocks, securities or investments reviewed by the company.

Your use of information from our website, reports, documents and from talking to our representatives/associates is at your risk. Under no circumstance should the investment be based solely on KOSEC information and general advice. You should seek professional financial planning advice.
KOSEC aims to maintain the accuracy of the data and information provided on this website, by using information prepared from a wide variety of sources, which KOSEC to the best of its knowledge and belief, considers accurate and does not make any representations or warranties of any kind, expressed or implied, about the completeness, accuracy, reliability, suitability or availability of the information provided.

We may at times refer to third parties, which the details of these third parties have been provided solely for you to obtain further information about other relevant products and entities in the market. KOSEC has no control over the information third parties have, or the products or services offered, and therefore make no representations regarding the accuracy or suitability of such information, products or services. You are advised to make your own enquiries in relation to third parties. Our inclusion of any third party content is not an endorsement of that content or the third party.

Fees
As a client you will be charged a yearly service fee and a set brokerage fee per transaction. Your service fee will automatically renew at the end of your agreed 12 month period at the same rate advertised at the time. Your credit card or bank account will be charged for a further year following which will again auto renew until you cancel your yearly service fee. You can cancel the auto renewal at any time in advance of the renewal date by contacting us. KOSEC is aware of the need to ensure the security of your credit card details and our payment systems are compliant with the Payment Card Industry (PCI) Data Security Standard.

Privacy
You consent to receiving email correspondence from KOSEC, as well as companies KOSEC has an association with. These emails will be sent by KOSEC and third party companies. You can opt out of receiving any category of emails at any time by contacting us. We may from time to time inform you of special offers, or even ask your opinion of the services we provide, but your involvement is optional. Should you request us to do so, we will archive your details.

Indemnity and Liability
You indemnify KOSEC from all claims or threatened claims, suits, demands, damages, costs as well as including legal costs incurred in dealing with any threatened claim, expenses made by any person or corporation against KOSEC and any other amounts which is caused by KOSEC providing information, execution and General Advice.

You hold KOSEC harmless and release it from any liability in respect of any loss, harm or damage arising from a decision made by you on the basis of information obtained through the use of our portal, reports, documents or any General Advice given and any transaction taken place.

You hold KOSEC harmless and release it from any liability in respect of any loss, harm or damage arising from delays in executing orders for the client and acknowledges KOSEC makes no guarantees about the time taken to execute an order on behalf of the client. You acknowledge that KOSEC relies on third parties in providing technology and release KOSEC from any harm, loss or damage you may suffer as a result of the failure of such information technology.

Cookies and Links
KOSEC website, and its portal uses cookies, which lets us identify your browser while you are using the site or our portal. Cookies do not identify you personally. They simply allow us to track your usage patterns. If you prefer not to receive cookies, you can configure your browser to reject them or to notify you when they are being used. The functionality of the KOSEC website may be impacted if you restrict the use of cookies.

Fill up the form below and we will get back to you as soon as possible.

CLAIM YOUR FREE E-BOOK &
7 DAY ACCESS TO LOTUS BLUE

STOCK MARKET SUCCESS

KOSEC’s CEO, Michael Kodari’s new book, “Stock Market Success” valued at $39.95, available at Dymocks book stores with all the proceeds going to Dymocks Children’s Charities.

CLAIM YOUR FREE E-BOOK WHEN YOU LOGIN TO LOTUS BLUE INVESTMENT PORTAL

Latest TV Commercial