ANALYSIS: Potential UK Parliament prorogation ahead
SourceNewsquawk
SectionMarket Analysis
- UK politics has erupted today ahead of the official return of parliament on September 3rd next week. UK PM Johnson has confirmed that parliament will be suspended from around September 9th, and October’s party conference recess to be extended by one week until October 14th for the Queen’s speech.
- In terms of timings, the prorogation will indicatively take place from September 9th (though some reports do indicate September 11th instead), for around 5 weeks with Parliament to return on October 14th for the Queen’s speech. While some have noted that such a move by the UK Government is unacceptable etc., indications are that it is perfectly legal for this to occur and that there is no scope for legislation to stop the routine process around the Queen’s speech. Regarding the length of the break, while it is somewhat longer than typical as the prior Queen’s speech was two years ago the extended length maybe a justifiable reflection of that.
- Upon Parliaments return on October 14th, this time will be taken up by debated on the Queen’s speech and then subsequent votes on it leaving very little time to prevent a no-deal; particularly as the European Council conference is on the 17-18th October, which is the effective date for a deal to be agreed upon before the October 31st extension end.
- As such, the two weeks between September 3rd and 9th/11th are the most likely opportunity for any legislation to stop a no-deal, which has scope as Opposition Leaders have agreed to table a law with the intent of stopping a no-deal alongside over 200 MPs yesterday signing a declaration to continue to run parliament elsewhere in the event it is suspended. On the possibility of a no-confidence vote, this is possible however recently opposition politicians have stated that they do not have the support required for such a vote and that it is their last resort.
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