Brexit Update: Scottish Court Delays Decision On Extension, EU Negotiator Says Deal 'Difficult But Possible'

Tanzeel Akhtar

Brexit dscussions between the European Union and the United Kingdom are intensifying with 22 days to go before the U.K. is due to depart from the EU.

The Scottish Court of Session delayed a decision on whether to sign a letter requesting a Brexit extension if Prime Minister Boris Johnson refuses to do so, the BBC reported.

The Benn Act requires Johnson to ask EU leaders for a delay if a deal has not been agreed by Oct. 19.

It is expected the court will sit again Oct. 21, with the judges saying the circumstances should be "significantly clearer" by then.

The U.K. Parliament is set to meet Saturday, Oct. 19 following an EU summit. The last time Parliament met on a Saturday was during the Falkland Islands invasion in 1982, the BBC said. 

Brexit uncertainties are weighing on the U.K. economy, The Bank of England said in the minutes of its Financial Policy Committee meeting summary on Wednesday.  

The core of the country's financial system is prepared for a worst-case scenario, and some disruption to cross-border financial services after a no-deal Brexit is possible, according to the committee. This would mostly affect the EU, the panel said. 

More price volatility is expected in the wake of a "disorderly" Brexit, the committee said.

More Updates

  • Irish prime minister, Leo Varadkar said: "We are absolutely open to proposals that would take into account the democratic wishes and the views of the people of Northern Ireland in relation to consent, but we need to make sure that any such arrangements are workable."
  • Michel Barnier, the EU's chief Brexit negotiator, said a Brexit deal is "difficult but possible."
  • On Tuesday, a No. 10 Downing Street source said a Brexit deal is "essentially impossible" in the wake of a call between U.K. Prime Minister Boris Johnson and German Chancellor Angela Merkel.

Price Action

The iShares MSCI United Kingdom Index (NYSE: EWU) was down 1.28% at the time of publication, while the Vanguard FTSE Europe ETF (NYSE: VGK) was down 1.12%.

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