The British pound recorded its largest daily drop against the USA dollar in 3-1/2 weeks after two euroskeptic ministers announced their resignation from UK Prime Minister Theresa May´s cabinet, leaving the British leader´s Brexit plans in chaos.
David Davis, the minister in charge of Brexit negotiations, resigned abruptly on Sunday, and foreign secretary Boris Johnson stepped down the next day.
At a meeting with Conservative lawmakers on Monday, she was cheered and applauded by many, having warned them that internal squabbling could pave the way for socialist opposition leader Jeremy Corbyn to take power instead.
May named one of her most loyal ministers, Jeremy Hunt, to replace Johnson in the job of Britain’s top diplomat.
German Chancellor Angela Merkel arrives in London later on Tuesday for a meeting with May and other leaders to discuss the Western Balkans.
Her proposal would see Britain adopt European Union rules for trade in goods after Brexit, but maintain flexibility for its key services sector and end freedom of movement.
But striking a beneficial trade deal with the United States was always going to be hard for the United Kingdom, which will lack the negotiating power enjoyed by the European Union.
Saul said that the general sentiment right now is “confusion and uncertainty”, with numerous company’s clients purchasing gold anxious that Theresa May, pictured above left, could be ousted out of office and replaced with someone in support of a hard Brexit.
Gove told ITV he was “absolutely not” planning to resign.
“What’s been positive about this week is we do now have that”, he said.
While Mr Johnson may have spoken in his usual colourful tones about the death of the Brexit “dream” in his resignation letter on Monday, the situation is swiftly descending into a political nightmare for the Conservative Party.
Their departures, followed by a clutch of junior aides, destabilised May’s government and revived talk of a leadership challenge against her.
Two years after Britain voted 52 percent to 48 percent to leave the European Union, May is trying to find a middle way between two starkly differing views – within her party and the country – of the U.K.’s relationship with Europe.
“What Australia wants to see is stability and certainty and we want to continue working with the UK Government on matters of concern to us and that includes a free trade agreement when the time is appropriate”.
The British government is due to publish a detailed version of its plans on Thursday. The EU has welcomed its publication and said it will respond when it has seen the plans in detail.
For the City of London the plan would propose “a looser partnership” with the European Union rather than original proposals for “mutual recognition” of British and European Union rules after Britain leaves the bloc in March, the Financial Times reported.
This has angered some Conservative backbenchers, who say it will prevent the United Kingdom from having its own independent trade policy, and they want to see the Chequers blueprint rewritten.
The timing could not be worse, as Britain faces a fresh diplomatic row with Russian Federation over a nerve agent attack, and ahead of US President Donald Trump’s visit this week.
The trans-Atlantic relationship has had some awkward moments since Trump’s election.
The European Commission declined to comment on Mr Davis’s exit but Donald Tusk, the president of the European Council, said he hoped a change in faces might lead to a change in policy.
“He’s been very, very supportive and very nice to me”.
Theresa May’s hold on Downing Street has taken a big hit, but is Boris Johnson’s departure enough to oust her?
“He’s been very, very nice to me, very supportive”.