U.K. Prime Minister Theresa May persuaded most of her senior ministers to back the draft Brexit agreement that has finally been struck with the EU — now all she has to do get it approved by a largely hostile Parliament.
That will be no easy task and May could easily come unstuck; there is already talk that committed Brexiteers in Parliament are mounting a mutiny against the U.K leader and the draft agreement. By lunchtime Thursday, notable Euroskeptic lawmaker Jacob Rees-Mogg said that a number of letters of no confidence had been submitted which could potentially force a vote within the ruling Conservative Party on her leadership.
Brexit Secretary Dominic Raab resigned on Thursday, commenting on Twitter that he "cannot in good conscience support the terms proposed for our deal with the EU." That announcement was followed by the resignation of Work and Pensions Secretary Esther McVey, also over the draft deal. Both ministers are keen Brexiteers. Sterling and London's FTSE 100 index fell on the news. Several junior ministers resigned earlier.
"Theresa May has got a huge mountain to climb in Parliament," Kallum Pickering, a senior U.K. economist at Berenberg, told CNBC Thursday.
"This is the deal that can probably keep her in government, keep her government in power and possibly get through the (House of Commons — the U.K.'s primary chamber of Parliament) but that is not certain," he told CNBC's "Capital Connection."