The pound is weak against the euro and the dollar this morning ahead of a busy week in Parliament. As they return from their summer recess tomorrow, opposition MPs will be looking to bring forward legislation to stop a no-deal Brexit. Details of this will be revealed on Tuesday, however, the government have already warned that Conservative MPs who vote to block no-deal could be faced with a ‘loss of the whip.’ The whips office have said that voting against no-deal could “destroy” any chances of a deal with the EU.
Labour leader Jeremy Corbyn is due to make a speech today, ahead of a meeting to finalise plans to stop no-deal. It is thought that legislation will be put forward tomorrow, and it will then be debated and voted on in the House of Commons on Wednesday. Depending on how the events of this week develop, we could see volatility for the pound.
Meanwhile, chief Brexit negotiator for the EU, Michel Barnier, has once again rejected calls for the controversial backstop to be abolished. He said that “the backstop is the maximum amount of flexibility that the EU can offer to a non-member state.”
