UK’s Cameron Braces for Painful Dinner Date in Brussels

U.K. Prime Minister David Cameron is due to attend a European summit in Brussels on Tuesday where pressure is expected to be applied on the U.K. to trigger Article 50 to start the process of leaving the European Union (EU).

EU leaders are expected to debate the U.K.’s decision last Thursday to leave the economic and political bloc made up of 28 countries, which has prompted turmoil in global markets and crisis in the political establishment, both in the U.K. and EU.

However the U.K. has yet to trigger Article 50 which begins the leaving process despite calls from other EU leaders to do so – meaning that the summit could be acrimonious.

The U.K. has said it wants to know where it stands with the EU before triggering the untested procedure. The prime minister resigned on Friday following the Brexit result and said he would stay on until a new leader is elected to oversee the Brexit process – now expected to be in September. Only then, he said, would Article 50 be enacted, triggering a withdrawal process that can take up to two years.

With the exit procedure postponed, EU leaders are in no mood to placate the U.K. or rush to the negotiating table. Many are not happy with the delay in triggering Article 50, fearing that it will prolong uncertainty for the European economy and political establishment that is already facing a rise in populism and anti-EU sentiment.


This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Craig Erlam

Craig Erlam

Senior Market Analyst, UK & EMEA at OANDA
Based in London, Craig Erlam joined OANDA in 2015 as a market analyst. With many years of experience as a financial market analyst and trader, he focuses on both fundamental and technical analysis while producing macroeconomic commentary. His views have been published in the Financial Times, Reuters, The Telegraph and the International Business Times, and he also appears as a regular guest commentator on the BBC, Bloomberg TV, FOX Business and SKY News. Craig holds a full membership to the Society of Technical Analysts and is recognised as a Certified Financial Technician by the International Federation of Technical Analysts.
Craig Erlam
Craig Erlam

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