After yesterdayâ€™s general election, the UK parliament looks to be set for a spell where there exists no outright majority party within the house. Current forecasts predict that by the end of the result counting, the Conservative Party may be tied on a very close margin with the Labour Party; with both parties expected to garner at least 40% of the votes each (Conservatives expected to do slightly better). The Liberal Democrats, UKIP, and the Green Party should be some way behind and split whatâ€™s left of the remaining votes.
In order to become an overall majority, a party would be required to secure 326 seats in parliament. Going by yesterdayâ€™s vote, the Conservatives are expected to not have won more than 318 seats, and Labour could be having around 261 seats to them.
Jeremy Cobryn, the leader of the Labour Party, said last night that he expected Prime Minister Theresa May to â€˜â€˜make way for a government that will be truly representative of all of the people of this countryâ€™â€™, he said this while he called for May to step down from her role as Prime Minister, citing that she had â€˜â€˜lost Conservative seats, lost votes, lost support and lost confidence.â€™â€™
FairFX, a currency-exchange company reported that the pound had fallen off about two per cent against 158 global currencies and is at its lowest rate against the euro in nearly 5 months.
When no party in parliament has up to 326 seats, enough to form a majority, the parliament is referred to as â€˜hungâ€™, and the party in power (having the Prime Minister too) remains in power. There is however other means by which this majority seats can be reached by parties with smaller seat numbers (coalitions with other parties) but itâ€™s left to be seen how events will play out. May and Cobryn will have a lot to do at the background.