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UK Bookmakers Cutting Odds on No-Deal Brexit

March 27, 2019
3 Min Read
No deal brexit

As the Brexit deal is witnessing radical shifts, bookmakers in the UK are quickly trimming the odds on a no-deal Brexit. The European Union has already admitted that it is “increasingly likely” that Britain will say goodbye to the EU without a deal.

British Prime Minister Theresa May still has two weeks to find a solution to the problem. Friday, March 29, is the day the UK formally bid adieu to its former allies, but it is highly likely that the date will be shifted to April 12, the time when the EU decides about European Parliament Elections.

The Prime Minister will table secondary legislation by Friday that will remove the original deadline of Brexit from the law. Britain could then get some more time to rethink its relationship with the European Union. However, it is difficult to pinpoint when exactly the UK will be out.

If Theresa May is able to convince her fellow MPs on her proposal, then the British exit could be delayed till May 22. However, if she is unable to make a convincing proposal, the date will only be pushed till April 12, and the country will have to move out of the EU without getting a concrete agreement for the future if they don’t come up with a new solution for this problem.

Bookmakers believe that a third ‘meaningful vote’ won’t pass and most political betting sites are offering 2/5 on the likelihood that the House of Commons will be rejecting May’s Brexit deal for the third time. The EU is unphased with these issues and insists that they are fully prepared for a future where Britain leaves without a deal.

In a press release, it said that the no-deal preparations have already been completed.  Political betting traders at Paddy Power were alerted following the remarks as this situation looks highly likely. It has shortened its odds from 10/3 to 11/4. The EU has advised its citizens and businesses to stay informed about the consequences of a no-deal scenario. It mentioned that such a condition is not desirable, but the EU is ready to face it.

The UK has another way out of the situation, i.e., revoking Article 50, the legislative procedure followed by an EU member state which intends to leave the union. Over 5.5 million Britons signed a petition to cancel Brexit, but May suggests that it will not happen. The bookmakers believe May, and the odds are set at 5/2.

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