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The Latest On Brexit Uncertainty: May Says Government Has 'Duty To Deliver' On Promise

Jayson Derrick

The British people voted in 2016 to leave the European Union with a divorce date set for March 29, 2019. But with less than 80 days until then, the British government has yet to reach a finalized agreement with the European Union to govern the exit and what their relationship will look after the separation.

May: 'Duty To Deliver' On Promise

The "Brexit" vote couldn't make it any clearer the British government is mandated by the people to leave the European Union. British Prime Minister Theresa May reaffirmed Monday the government's "duty to deliver on that," but the process needs to be "smooth and orderly" while simultaneously projecting jobs and security.

If no finalized agreement with the European Union is reached in time, a "hard Brexit" would have "no implementation period, no security cooperation, no guarantees for UK citizens overseas, no certainty for businesses and workers," The Guardian quoted May as also saying.

On the other hand, if Brexit is overruled it would "risk a subversion of the democratic process."

May's comments come ahead of Tuesday's debate in British Parliament followed by a parliamentary vote on May's proposed Brexit plan, which was delayed after being scheduled for early December.

Dividend Stocks Attractive

William Hobbs, chief investment officer at Barclays Investment Solutions, told CNBC the likelihood of both a "hard Brexit" and the Brexit process called off are very low. Meanwhile, many UK-listed stocks that sold off amid global volatility and domestic uncertainty are looking attractive, especially those that pay a 5-percent dividend yield.

The gap between realized U.K. dividend yields and the 10-year U.K. government bond is trading at a spread that hasn't been seen in 80 years, Hobbs said.

Former PM: The People Will Vote Again

Former British Prime Minister Gordon Brown told CNBC "at some stage" in the future the British people will return to the ballet box for a second Brexit vote. The vote will be needed to help heal the country, which has never been "more fractured than it is now."

"We've got to stand back, look at what's not been achievable under the parliamentary process we've got, and think again about how we can actually resolve this issue in the future," Brown said.

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