Nancy Curtin, Chief Investment Officer, Close Brothers Asset Management commented:
“With Brexit negotiations on the cards, the Prime Minister has sought to strengthen her hand by calling a General Election. A successful election in June would likely provide May with a larger majority, one that would ease the process of agreeing terms of negotiation in Westminster. As we have seen across the Atlantic, a divided party can cause delays in driving policy change – delays the Prime Minister simply does not have time for, so this move to consolidate her power is wise, especially as recent polls show the Conservatives leading by more than 20 points ahead of Labour.
“Much depends on the Conservative manifesto – but the election campaign is unlikely to upset the markets. Unless we see a political upset, a greater source of clarity and confidence will be welcomed by investors as Brexit discussions get underway in earnest.”