A shift has been noted, but the process of the United Kingdom's departure from the European Union "remains lengthy and challenging," Fitch Ratings' analysts said on Friday. After the two sides declared they reached the provisionary deal about the land frontier, citizen rights and the divorce bill, the credit appraiser stressed the "more constructive relationship" still comes with a disclaimer that "nothing is agreed until everything is agreed."
"The time available to secure a trade agreement has shrunk. Friday's agreement does not resolve many key issues such as the nature of the Irish border post-Brexit, future trade arrangements, or whether there will be a transition period and on what terms," the report highlights. The language of the joint document is "carefully crafted" but the status quo, apparently agreed on for the possibility of a failure to strike a trade deal, means Britain would struggle to ensure regulations in its westernmost province are equivalent to those in Ireland, the agency said.
The negotiations opened cracks in UK's political stability, including in the public opinion, authors concluded.
