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Apres moi, le deluge

| Posted by: Paul Donovan | Tags: Paul Donovan

  • The UK has not, of course, left the EU yet – but the implications are certainly being felt in financial markets. In the UK there has been some question of whether the UK has to leave. In theory omnicompetence of statute means that Parliament could overturn the vote, but that is not considered politically practical.
  • Complicating matters the leader of the opposition has had 11 members of the shadow cabinet resign from underneath him (and he fired the shadow foreign secretary). He may face a vote of no confidence. There has not been a period where both major parties have faced leadership elections simultaneously.
  • Lord Hill resigned as the UK's EU Commissioner for Financial Services. The UK has contributed a great deal to EU financial regulation over the years. The departure of the UK will change the nature of that regulation in the future.
  • The Spanish general election saw an increase in support for PM Rajoy, with commentators attributing this to the electorate's wish to avoid uncertainty in the wake of the UK vote. However there still seems to be no "natural" coalition with the seats to be able to command a majority.