If PM May Is Forced To Leave Who Could Replace Her And How Would It Affect The Sterling?

[Jon Steeler]

[Guest Sam Bouman]

So with it looking increasingly likely that Theresa May will lose the vote on her Brexit deal there are three candidates who have taken the lead in the betting odds for the next prime minister, I have listed them below along with the potential impact it could have on the GBP.

Boris Johnson - 

A Brexiteer who wants to negotiate a deal with the EU but would not be afraid to walk away if he does not get what he wants out of it. Has said a no deal Brexit shouldn’t be taken off of the table. This would be bearish for the pound as it would be seen as someone who is not scared to walk away from a deal and someone who is a Brexiteer at heart.

Dominic Raab -

Similar to Boris Johnson but he is being seen as the no deal candidate on Brexit, he has refused to support Theresa May’s deal and said he would prefer to leave the EU without a deal, this would be very bearish for the GBP as the chances of a no deal would increase significantly.

Jeremy Corbyn - 

He wanted to remain originally but believes the UK should leave the EU after the 2016 vote. Corbyn is seen as the most EU friendly and wants the UK to stay within the customs union and the single market during the transition to avoid any hard border with Ireland. He has also hinted that he would support a second referendum on any deal negotiated. This would be extremely positive for the pound as it would not affect current trade and would stabilise markets and the economy.