UK: Focus on Brexit and stress tests - BBH
In view of analysts at BBH, the UK has made progress on two of the three separate issues, the rights of EU citizens in the UK post-Brexit and in offering more funds.
“The remaining stumbling block is the Irish border. The UK proposal to allow Ireland to veto at the end of the process rather than now is not seen by the EU negotiators as a sufficient attempt to propose how it thinks a hard border will be avoided after March 2019. Tusk, the President of the European Council, has given the UK 10 days to make headway or not move to the second phase of negotiations.”
“Stress Tests: Alongside the publication of the Bank of England's Financial Stability report, it will release the results of the latest stress test its seven largest banks. There are two tests: the annual cyclical test and the biennial hypothetical crisis test. Results for RBS, which failed last year's test, and subsequently sold assets may receive much attention. Results for other banks that want to boost or reintroduce dividends may also be scrutinized by investors.”