Merkel expects Brexit to proceed as scheduled after United Kingdom vote

Analysts at Moody's Investor Service said in a note on Monday that while an inconclusive election outcome is a credit negative for the United Kingdom, the increased likelihood of "softer" Brexit options being considered could be credit positive.

Mr Davis indicated there could be a slight delay before he enters the negotiating chamber, in part because of the Queen's Speech which was also due to take place on June 19 - although there has been speculation that could also be delayed. May's two top aides, Nick Timothy and Fiona Hill, announced they had quit on Saturday, following sustained criticism of the campaign within the party.Britain's typically pro-Conservative press savaged May on Saturday and questioned whether she could remain in power, only two months after she started the clock ticking on the two-year European Union divorce process.

"Some people think the reason she went for an election was to get a large majority so she could then face down the extreme elements and push through a closer relationship with the European Union than they would want".

"The timetable, whatever happens here, is likely to be pushed back", the former UK Independence Party (UKIP) leader said. The Conservatives have 318 of 650 parliamentary seats, down from 330, and are seeking support from a small Northern Irish party, the Democratic Unionist Party, to support a minority government.

Within the two years of talks, Britain wants to not only agree on the terms of its exit but also negotiate a new relationship on things like trade and security. She campaigned on the ticket of leaving the Single European Market and the EU Customs Union, the removal of the jurisdiction of the European Court of Justice in the UK Courts as well as asserting control of UK borders, thereby ending the rights of free movement for Community citizens into the UK.

Meanwhile, Michael Fuchs, senior economic adviser to the German chancellor, told the BBC the result meant it was time for Mrs May "to face realities" and soften her approach.

Her plan is for Britain to leave the EU's single market of goods and services, a zone of common regulation that allows a British company to operate and sell its products across the bloc. "I have the feeling, because otherwise they would have given her a better vote".

"Brexit will come at a cost. We want to do it quickly, respecting the calendar", Merkel said.

Manfred Weber, chairman of the European People's Party (EPP), the largest grouping in the European Parliament, said Britain looked disorientated by the election result. This result will make the already complex negotiations even more complicated.

"It's the end of hard Brexit", the president of the European Parliament, Antonio Tajani, told the Italian daily Corriere della Sera.

German Chancellor Angela Merkel has said she expects Brexit negotiations to go ahead within days.

"We don't adopt their views, we don't adopt their policies", he said.

  • Zachary Reyes