UPDATE 1-No-trade deal Brexit? JPMorgan says about one third chance
LONDON, Sept 3- JPMorgan said there was about a one third chance of a no-trade deal Brexit at the year end but that brinkmanship between Britain and the European Union over coming months would make it appear a much greater risk. Britain left the EU on Jan. 31 but talks have so far made little headway on agreeing a new trade deal with the bloc by the time a status-quo…
LONDON, Sept 3 (Reuters) – JPMorgan said there was about a
one third chance of a no-trade deal Brexit at the year end but
that brinkmanship between Britain and the European Union over
coming months would make it appear a much greater risk.
Britain left the EU on Jan. 31 but talks have so far madelittle headway on agreeing a new trade deal with the bloc by thetime a status-quo transition arrangement ends in December.
“The chance of no-deal is about a third, but withbrinkmanship part of the process it may appear higher than thatbefore agreement is reached,” JPMorgan analyst Malcolm Barr saidin a research note to clients.
EU chief Brexit negotiator Michel Barnier said on Wednesdaythat Britain must engage now with EU demands on guarantees offair competition, fisheries and solving disputes in order toseal a deal on new trade ties by a “strict deadline” ofend-October.
Barnier said London has so far not shown enough flexibilityand creativity on these. But he believed a deal on a newrelationship to replace decades of close-knit cooperation afterBrexit from 2021 was still possible, if difficult.
Britain and the EU are due to hold talks in London on Sept.7-11.
“It would be a surprise to us if enough progress were madeto bring agreeing a Treaty by end October into view,” JPMorgan’sBarr said.
“The absence of that progress will generate pressure forinterventions from UK and EU leaders; however, at this stage, wesee little that suggests any major softening in the EU’sposition or unity around it,” he said.(Reporting by Guy Faulconbridge; editing by Kate Holton)
ANA NEWS WIRE Disclaimer:
The African News Agency (ANA) is a news wire service and therefore subscribes to the highest standards of journalism as it relates to accuracy, fairness and impartiality.
ANA strives to provide accurate, well sourced and reliable information across Text, Images and Video. Where errors do appear, ANA will seek to correct these timeously and transparently.
The ANA platform also contains news and information from third party sources. ANA has sought to procure reliable content from trusted news sources but cannot be held responsible for the accuracy and opinions provided by such sources on the ANA platform or linked sites.
The content provided for on the ANA News Wire platform, both through the ANA news operation and via its third party sources, are for the sole use of authorised subscribers and partners. Unauthorised access to and usage of ANA content will be subject to legal steps. ANA reserves its rights in this regard.
ANA makes every effort to ensure that the website is up and running smoothly at all times, however ANA does not take responsibility for, and will not be held liable for times when the website is temporarily unavailable due to technical issues that are beyond our control.