Theresa May has confirmed the timeline for the UK to trigger Article 50 saying it will be enacted by March 2017. It will be a 2 year process from then, meaning the UK will no longer be part of the EU by 2019.
UK Parliament will introduce a ‘Great Repeal Bill’ which will replace the existing EU laws in the UK with British legislation.
4th October 2016: Sterling fell to a 3 year low against the Euro and a 31 year low against the US dollar on the back of Theresa May’s clarification of when the UK will trigger Article 50.
Tesco Group reported a 60% increase in its first half profits and it was the third quarter in a row that growth was recorded.
18th October: Sterling has dropped 18% in value since the vote to leave the EU took place in June.
UK inflation has reached its highest level in 2 years coming in at 1% in September. The Bank of England’s target for 2017 is currently 2%. Some believe inflation will peak at 3% to 4% by 2018. Clothes prices increased by 6% in September.
The unemployment rate in the UK as a whole is at an 11 year low of 4.9% to the end of August, however Northern Ireland recorded its unemployment rate as 5.5%. According to Markit, it is the first time since Brexit that ‘UK households saw a noticeable downturn in current finances’.
According to the Financial Times, investments in offices in London for Q3 2016 are down 64% vs Q3 2015 as the Brexit vote starts to bite.
The UK enjoyed growth of its GDP by 0.5% for Q3 reducing the possibility for a further interest rate cut by the Bank of England. According to the Office for National Statistics the growth was solely because of the strong services sector with a vast increase in film and television production. Manufacturing and construction were among the industrial products that contracted with the drop in construction the largest in 4 years.