Vulcan Insight

Is No Deal the Likely Deal?

9 August 2019

Taoiseach Leo Varadkar has said the UK government should drop their Brexit ‘red lines’ if they wish to renegotiate the current deal. Varadkar said that if a no-deal happens, it will be a consequence of the decisions made in London. The Taoiseach admitted that a no-deal looks more likely.

Since taking over as UK Prime Minister, Boris Johnson has taken a more hard-line approach to diplomacy with the EU, prompting concerns that a no-deal Brexit was becoming more likely than a negotiated UK exit from the EU.

Irish Minister for Finance Paschal Donohoe met with British Chancellor Sajid Javid in London on Tuesday. Donohoe acknowledged that the risk of a no-deal Brexit is growing and noted that the government will shortly make a decision as to whether a no-deal budget or a managed outcome would be unveiled in early October; “The Taoiseach and those of us who have the privilege of being in government will need to make a call as we approach October 31st regarding what we believe is the most likely scenario, and what is the appropriate economic strategy for our country, and political response to such a scenario unfolding.”

With little over 80 days to the October 31st deadline, a no deal, disorderly Brexit looks more likely than ever.