Sterling rebounded overnight on reports that UK has tabled a new proposal regarding fishing rights that could finally reach a comprise with the EU. UK had demanded a 60% reduction in the catch by value in its water by EU. That percentage of reduction was lowered to 35% in the new proposal. That’s much closer to EU’s demanded number of 25%.
Additionally, the UK would accept a five-year phase-in period for the new arrangements, rather than seven. The EU had initially called for 10 years to adjust and the U.K. had proposed three.
Separately, Prime Minister Boris Johnson’s spokesman reiterated that the Brexit transition period will end on December 31. “We’ve said before that we will need to ratify any agreement ahead of 1 January. The leader of the house made it clear that we would recall parliament in order to give MPs a vote on the necessary legislation,” he added.
