Brexit votes in House of Commons; the impact on the pound against the euro

GBP/EUR Rates: Third meaningful vote is delayed for now, but will May gain enough support to try again?

The pound has been trading close to a 2 year high vs the euro during the course of this week and with just a week to go before the next set of crucial Brexit votes in the House of Commons we could see a huge amount of movement for GBPEUR exchange rates so make sure you’re well prepared for what could happen.

On Tuesday 12th March MPs will be asked to vote on another attempt by Theresa May to offer a Brexit deal but with less than 3 weeks to go before the UK is due to leave the European Union this is likely to provide a lot of volatility for the Pound.

The previous Brexit vote was rejected by a majority of 230 votes so I would be amazed to see this current deal getting approved next week.

The result of a rejection will lead to another vote on 13th March which means consulting MPs on whether or not they would approve a ‘no deal’ Brexit which in turn will lead to another vote on whether MPs would be in favour of extending the current plan of leaving on 29th March.

Owing to what has happened during the last few weeks in terms of how sterling has performed I think we could see the pound challenge fresh highs next week if a no deal has been rejected as the huge fall which took place in June 2016 when the referendum result was announced was owing to the concern about future trade.

Therefore, my reasoning is that if a no deal is rejected then this will surely mean an extension of Article 50 and the reason why I think the pound could increase in value during the voting next week.

If you’re in the process of buying a property in Europe and would like to discuss the factors with the potential to impact your currency exchange, feel free to use the form below to get in touch. I’ll be happy to respond personally and discuss your enquiry.