Fitch made a statement saying that the results of the general election in the UK have raised uncertainty about the politics of the country and Brexit negotiations, after the results of the general election in the UK appeared.
The international credit rating agency, Fitch, said the results of the general election in England have caused uncertainty about the political platform, political cohesion and resilience of the next British government. The results seem to have an impact on Brexit and its potential fiscal policy.
Political, economic and institutional uncertainty coming from the Brexit referendum in June 2016 and the negotiations between the European Union and Britain are reflected in the negative view of the UK ‘AA’ credit rating.
British Prime Minister Theresa May will try to establish the government with the support from the Democratic Union Party of Northern Ireland, after the Conservative Party failed to achieve the expected majority in parliament. In such a case, although the extended coalition talks have been avoided, the terms of the agreement with Ireland are uncertain and another election may be made in the near future.
Theresa May went to early elections in an effort to bolster the majority of parliamentary and to strengthen a number of Brexit priorities, such as withdrawing from the European Union common market, withdrawing from the Customs Agreement and ending free movement. The hanging of the parliament increases the variety of possible Brexit results. The Brexit process can be performed softer or less smoothly.