What Happened: British Prime Minister Theresa May has invited several members of her Cabinet to read a draft of the withdrawal agreement between the European Union and the United Kingdom, Bloomberg reported Nov. 7. According to inside sources, this draft does not include a clause on the Irish backstop.
Why It Matters: The European Union and the United Kingdom could be close to reaching an agreement, which would avoid a no-deal Brexit and allow the implementation of a transitional period to let businesses and households adapt to the new trade relationship. However, reports suggest that the parties are still struggling to come up with a solution to keep the Irish border open.
Background: The European Union and the United Kingdom did not reach a withdrawal agreement during a European Council meeting in October. Brussels has said it will only call for a special Brexit summit in November if enough progress is made during negotiations. Failure to reach an agreement would lead to a no-deal Brexit in March 2019.
- Banking After Brexit: Who Will Be the New London? (Oct. 30, 2018)
- United Kingdom: Politics Short-Circuit a Preliminary Brexit Deal (Oct. 15, 2018)
- What If Brexit Happened Without an Exit Deal? (July 30, 2018)
- The UK Hits a Chaotic Patch on the Road to Brexit (July 18, 2018)