The German bank Deutsche Bank predicts 20 per cent of the unprofitable Brexit. While at the beginning it was only 10 per cent. After the failure of the Mayor’s proposal, the chances of it succeeding in the third consecutive year are decreasing.
“The dangers of a recent last-minute accident have increased,” said Oliver Harvey, the head of Brexit’s research at the German bank, adding that “government strategy seems to be lifted from the feet.”
This increase in forecasts made by Deutsche Bank comes shortly after JP Morgan raised his chances of an uncompromising exit from 10 to 15 percent the date 29, the other Friday is the deadline for a deal on Brex.
Harvey wrote: “In a worst case scenario, we anticipate that the government will seek an emergency expansion of Article 50 even at the end of next week if the third attempt to ratify the withdrawal agreement fails.”
He attributed a 55 percent probability to this score.
The bank also closed its “short EUR / GBP” recommendation since ratification of Prime Minister May’s agreement was no longer grounded.