2016-07-11

Here’s what we know on Monday, July 11:

—Andrea Leadsom has dropped out of the Conservative Party leadership race, paving the way for Theresa May, the home secretary, to become the U.K.’s next prime minister.

—Angela Eagle is challenging Labour leader Jeremy Corbyn for the party’s leadership.

—Britain voted June 23 to leave the EU by a 52 percent to 48 percent margin. Prime Minister David Cameron said he’d resign by October in the wake of the results.

—We’re live-blogging the major updates, and you can read how it all unfolded below. All updates are in Eastern Standard Time (GMT -5).

8:09 a.m.

The Labour Party, meanwhile, has been having its own leadership turmoil, and unlike the Tories, it’s nowhere close to being resolved: Angela Eagle said she would challenge Jeremy Corbyn for the party’s leadership.

Corbyn’s leadership of the party is extremely popular among Labour’s base, but highly unpopular among its elected members of Parliament who, after the Brexit vote, easily passed a motion of no-confidence against him. Corbyn, however, has refused to quit, citing his support among the party’s base. There appear to be two main reasons for Corbyn’s unpopularity among his party’s MPs: Many feel he has taken Labour too far to the left; and, there has been speculation that despite Corbyn’s public statements about wanting to keep the U.K. in the EU, he secretly supported the “leave” campaign, leading to what many regards as his half-hearted effort during the Brexit campaign.

Announcing her leadership bid, Eagle said:

I would not do this if I did not think I had something to offer to bring our party and our country back together. And I would not do this if I did not think I could be a good prime minister for Britain. These are dark times for Labour. And they are dangerous times for our country.

But as The Telegraph notes, Eagle’s announcement came at around the same time as Leadsom’s, leading to many reporters leaving her event early.

8:02 a.m.

Chris Grayling, Theresa May’s campaign chief, has said the home secretary is “enormously honored” that she’s the likely next leader of her party, and her country. His full statement:

Grayling: Theresa May is “enormously honoured to have been entrusted with this task by so many of her colleagues” https://t.co/RnUoN6hVK9

— DailySunday Politics (@daily_politics) July 11, 2016

7:45 a.m.

There are several reasons for Leadsom’s withdrawal from the race, including the ones she cited such as a relative lack of support compared to May. But the beginning of the end was perhaps set in motion over the weekend when The Times ran an interview in which she seemed to suggest that motherhood made her better prepared for the prime ministership than May, who is childless. Here’s an excerpt:

Yes. So really carefully because I don’t know Theresa really well, but I’m sure she will be really sad that she doesn’t have children so I don’t want this to be 'Andrea’s got children, Theresa hasn’t – do you know what I mean? Because I think that would be really horrible.

But genuinely I feel being a mum means you have a very real stake in the future of our country. A tangible stake.

She possible has nieces nephews, lots of people. But I have children who are going to have children who will directly be a part of what happens next.

So it really keeps you focused on what are you really saying because what it means is you don’t want a downturn - but then ‘never mind let’s look to the ten years hence it will all be fine.’

But my children will be starting their lives in that next ten years so I have a real stake in the next year.

Those comments were swiftly denounced and criticized. Leadsom herself said her words were taken out of context, and were part of a broader conversation about leadership with the British newspaper—and she apologized to May. But the damage was done. In an interview with The Telegraph, published Monday, she said the abuse she’d received after her comments to the Times were “shattering.”

7:38 a.m.

The Guardian, before Leadsom officially withdrew from the race, laid out the possible next steps:

1 - Theresa May could become prime minister very soon, perhaps even later today.

2 - May could be confirmed as party leader, but with David Cameron staying on for perhaps a few more weeks.

3 - The Conservative party board could decide to allow another candidate to enter. It would almost certainly be Michael Gove, who came third. The board could take the view that members are entitled to a choice between a leave candidate and a remain candidate.

But since that was written, Leadsom has officially conceded and the party’s has ruled out reopening the leadership race to another candidate—in effect eliminating that third scenario. So, May remains the only candidate on the race to succeed David Cameron as the leader of the Conservative Party and, consequently, prime minister. This is seen by many as a massive blow to the faction of the party that supported withdrawing from the EU.

July 11 at 7:25

Andrea Leadsom has dropped out of the Conservative Party’s leadership race, paving the way for Theresa May, who topped two rounds of voting, to become Britain’s next prime minister.

May “is ideally placed to implement Brexit on the best possible terms for the British people,” Leadsom said in her concession speech.

You can watch Leadsom’s speech here:

“I wish Theresa May the very greatest success. I assure her of my full support” @andrealeadsom ending leadership bid https://t.co/l3e153NsRI

— DailySunday Politics (@daily_politics) July 11, 2016

May had supported the “remain” campaign, but has pledged to carry out the people’s wishes.

July 7 at 11:34 a.m.

Britain’s next prime minister will be a woman. Either Theresa May or Andrea Leadsom will become the first woman since Margaret Thatcher in 1979 to assume that post.

May, the home secretary who campaigned for the U.K. to remain in the EU, won the Thursday second round of voting in the Conservative leadership race. Leadsom, the energy minister who supported Brexit, finished second; Michael Gove, the justice secretary who also supported leaving, finished last and was eliminated.

3:43 p.m.

Theresa May, the home secretary who campaigned for the U.K. to remain in the EU, won the first round of voting in the Conservative leadership race. Andrea Leadsom, the energy minister who supported Brexit, finished second, followed by Michael Gove, the justice secretary who also supported leaving. Liam Fox, the former defense secretary, finished last, and was eliminated from the race. Stephen Crabb, who got the second-fewest votes, dropped out and backed May. The BBC adds: “Further voting will narrow the field to two. The eventual outcome, decided by party members, is due on 9 September.”

The winner will replace David Cameron as prime minister.

July 5 at 8:52 a.m.

Mark Carney, the governor of the Bank of England, says the U.K. central bank will be unable at this time to counteract the economic instability caused by Britain’s exit from the European Union.

“The U.K. has entered a period of uncertainty and significant economic adjustment,” Carney said at a news conference. “The efforts of the Bank of England will not be able fully and immediately to offset the market and economic volatility that can be expected while this adjustment proceeds.”

But, he said, the Bank of England will help banks infuse another 150 billion pounds (about $196 billion) into the economy in the form of extra lending.

Meanwhile, there are more signs the effects of the vote are adversely affecting the broader U.K. economy. The pound is at its lowest level against the dollar since September 1985: It fell below $1.31 on Tuesday. Separately, two British property funds, Aviva and Standard Life, are refusing to allow their clients to take money out. The Guardian explains why:

Otherwise, they would be forced to sell property assets at firesale prices to fund redemption requests. That would drive down the value of the fund, encouraging more investors to cash out, creating a vicious circle.

Instead, people with money in these funds must now sit and wait.

At the European Parliament in Strasbourg, Jean-Claude Juncker, the EU Commission president, said: “The Brexit heroes of yesterday are now the sad Brexit heroes of today.”

That’s an apparent reference to Nigel Farage, who announced Monday he was stepping down as UKIP’s leader, and Boris Johnson, who last week said he wouldn’t seek the Conservative Party’s leadership. Both men had championed Brexit.

July 1 at 9:21 a.m.

Michael Gove said he was the best person to “lead Britain out of the European Union” because he “argued to get Britain out of the European Union.” But the man who stunned the British political establishment on Thursday and announced his candidacy for the Conservative Party leadership to succeed David Cameron as prime minister in September. His main rival, Theresa May, had campaigned to keep the U.K. in the EU, but has said she will work, if chosen, to leave the bloc. Gove added he was in no hurry to invoke Article 50 to trigger the exit talks. “I have no expectation that Article 50 would be triggered in this calendar year,” he said.

Meanwhile George Osborne, the chancellor of the exchequer, said uncertainty about the U.K.’s economy after last week’s Brexit results had prompted the government to abandon its goal of a budget surplus by 2020. He said the referendum’s result was “likely to lead to a significant negative shock for the British economy.”

8:42 a.m.

Boris Johnson has stunned the British political establishment by announcing he will not seek the leadership of the Conservative Party to succeed David Cameron as prime minister.

“Well, I must tell you, my friends, you who have waited faithfully for the punchline of this speech, that having consulted colleagues and in view of the circumstances in parliament, I have concluded that person cannot be me,” he said.

Those in the room, including among the media, were stunned. Here’s a typical reaction:

The lobby's reaction as expressed by @SamCoatesTimes pic.twitter.com/iOjhy1lhfa

— Andrew Alexander (@andrew_alex) June 30, 2016

But the announcement apparently became necessary when Michael Gove, the man who was supposed to back Johnson, threw his hat in the ring—in a move that is widely being described as a political betrayal. Gove, like Johnson, was a keen advocate for the “leave” campaign. He has also previously said, over and over  again, that he doesn’t have what it takes to be Britain’s prime minister.

The infighting within the Conservative Party comes as the opposition Labour Party is having its own leadership crisis. Jeremy Corbyn, its leader, overwhelmingly lost a vote of confidence among his fellow Labor MPs this week, but he has refused to resign, citing his support in the party’s grassroots. (Corbyn can seem to do little right this week. At an event Thursday to release a report on anti-Semitism within Labour, he appeared to compare Israel to the Islamic State. His quote: “Our Jewish friends are no more responsible for the actions of Israel than our Muslim friends are for the self-styled Islamic State.”)

As to how the British media is viewing all this, here’s a concise summary:

The Tory party has proved yet again it has PhD in ruthlessness. Labour hasn't even passed GCSE.

— Martin Kettle (@martinkettle) June 30, 2016

June 30 at 8 a.m.

Boris Johnson, the former London mayor widely tipped to replace David Cameron as the leader of the Conservative Party and, consequently, prime minister, says he will not contest the party’s leadership race. His stunning announcement came after Michael Gove, the justice secretary, who was widely expected to back Johnson’s leadership bid, announced instead that he would run. Theresa May, the home secretary, is the other major candidate. Also in the running are Steven Crabb, Liam Fox, and Andrea Leadsom.

4:16 p.m. ET

President Obama, speaking in Ottawa after a meeting with the leaders of Canada and Mexico, said at a news conference that the U.S. would be the “least of their [the U.K.’s] problems now” as it negotiates its future relationship with the EU. Obama had famously warned that the U.K. would go to the “back of the queue” if it voted to leave the EU. And though he did not repeat those words Wednesday, he said that U.S. was focused on negotiating a trade with the EU and “to suddenly go off on another track will be challenging.”

8:49 a.m.

Donald Tusk, the president of the European Council, has said: “Leaders made it crystal clear that access to the single market requires acceptance of all four freedoms—including freedom of movement. There will be no single market a la carte.”

The remarks came after a meeting of the leaders of 27 EU nations (excluding the U.K.), and he was with Jean-Claude Juncker, the president of the European Commission, French President Francois Hollande, and German Chancellor Angela Merkel, all of whom agreed with that sentiment.

Merkel reiterated there would be no discussion with the U.K. until Article 50 of the Treaty of Lisbon was formally invoked by the British government.

“We wish that that would happen as soon as possible,” she said.

June 29 at 8:17 a.m.

The leadership tumult in the opposition Labour Party provided Prime Minister David Cameron with some respite Wednesday in Parliament.

During Prime Minister’s Questions in Parliament, Cameron turned to his beleaguered rival Jeremy Corbyn, who lost a vote of confidence Tuesday among his party’s MPs, and said: “I would say, for heaven’s sake, man, go.”

Corbyn has refused to step down, saying he enjoys support from a vast majority of the party’s base (which he does). But there are growing calls from within Labour’s establishment, which has never been fond of him, for Corbyn to go.

Corbyn is expected to face a leadership challenge in the Labour Party. Meanwhile, more candidates are lining up to succeed Cameron as head of the Conservative Party (and assume the prime ministership). At present, Boris Johnson, the “leave” campaigner and former London mayor, is tipped to be the favorite.

Meanwhile in Brussels, Nicola Sturgeon, Scotland’s first minister, has a day of meetings planned with top EU officials to discuss Scotland’s relationship with the bloc. Scotland voted overwhelmingly to maintain the U.K. ties with the EU.

8:24 p.m.

David Cameron just wrapped up his appearance at a Brussels summit with the other 27 European Union leaders, where he briefed them on the referendum result and the next steps his country would take as it worked through an unprecedented political crisis.

The Guardian has more:

Speaking after the dinner, a pale and tired-looking Cameron expressed regret that this would be his final European Council, and said he and his fellow leaders had discussed their shared values. “Of course it’s a sad night for me, because I didn’t want to be in this position,” he said.

He said he had explained to his counterparts how prominently the issue of freedom of movement had played during the referendum campaign. “I think people recognised the strength of the economic case for staying; but there was a very strong concern about freedom of movement”.

He added that he believed Britain should try to retain the closest possible relationship with the rest of Europe - but “it is impossible to have all the benefits of EU membership without the costs,” something he said “the next British government” would have to think carefully about.

Cameron’s appearance at the summit did not count as the invocation of Article 50, the EU treaty mechanism that formally begins the withdrawal process from the 28-member bloc. That action will be left to future British leaders, Cameron said.

12:07 p.m.

The Labour Party’s internal crisis deepened Tuesday after Jeremy Corbyn, its leader, lost a vote of confidence among party MPs called after last week’s referendum. A total of 172 members cast their ballots to remove him as leader; 40 MPs sided with him.

Shortly after the results became public, Corbyn announced he would not resign.

“I was democratically elected leader of our party for a new kind of politics by 60 percent of Labour members and supporters, and I will not betray them by resigning,” he said in a statement. “Today’s vote by MPs has no constitutional legitimacy.”

A veteran of Britain’s hard left who rode a grassroots wave of support to win the party leadership last September, Corbyn came under fire over the weekend for what critics described as a halfhearted effort to keep the U.K. in the European Union. Some of the opposition came from centrist Labour MPs who have resisted his efforts to move the party leftward.

The leadership crisis came to head late Saturday night after Corbyn fired shadow foreign secretary Hilary Benn amid reports Benn was organizing a party coup against him after the referendum. A wave of resignations from Corbyn’s shadow cabinet followed on Sunday and Monday.

Labour leadership team source following no confidence vote says "nothing changes" and it's "business as usual".

— Jim Waterson (@jimwaterson) June 28, 2016

9:06 a.m.

German Chancellor Angela Merkel has told the Bundestag that there will be no “cherry-picking” during the U.K.’s negotiation with the EU on its exit from the bloc.

“Whoever wants to leave this family cannot expect to have no more obligations but to keep privileges,” she said.

“We will make sure that negotiations will not be carried out as a cherry-picking exercise,” she added. “There must be and will be a noticeable difference between whether a country wants to be a member of the European Union family or not.”

British politicians who championed leaving the EU have since last Thursday’s referendum said they want to remain in the European single market. That would mean the free movement of both goods and people across borders, an arrangement enjoyed at present by Norway, which is not an EU member. But immigration appeared to be one of the main reasons cited for the U.K.’s exit fron the EU, and access to the single market would seem to run counter to that sentiment.  Merkel said:

Those for example, who want free access to the single market will in return have to respect European basic rights and freedoms. ... That’s true for Great Britain just as much as for the others.

Speaking on CNN later Tuesday, Matteo Renzi, the Italian prime minister, reiterated those comments.

Italian PM @matteorenzi: UK can't have single market access w/o free movement. Can't have only the "good things." https://t.co/QiETOrhIXk

— Christiane Amanpour (@camanpour) June 28, 2016

In Brussels, meanwhile, two British members of the European Parliament received two very different reactions. Nigel Farage, the UKIP leader, seemed to luxuriate in his referendum victory and wasn’t shy about telling his European colleagues what he thought of them and their European project. “You have imposed upon” the British and European people “a political union” by stealth, he said. MEPs turned their backs on him; some jeered. You can watch the scenes here:

Alyn Smith, the Scottish National Party MEP, received a very different reaction. He reminded his fellow lawmakers that Scotland had, in fact, voted to remain, and urged them not to “let Scotland down.”

1:46 p.m.

EU leaders say they won’t hold either formal or informal talks with the U.K. on its exit from the bloc until the government invokes Article 50 of the Lisbon Treaty, formally setting in motion the process to extricate itself from the bloc.

German Chancellor Angela Merkel met with the leaders of France and Italy in Berlin to discuss the U.K. vote. Here’s Merkel at a news conference after their meeting:

We are in agreement that Article 50 of the European treaties is very clear—a member state that wishes to leave the European Union has to notify the European Council. There can't be any further steps until that has happened. Only then will the European Council issue guidelines under which an exit will be negotiated. That means that, and we agree on this point, there will be neither informal nor formal talks on a British exit until the European Council has received the request for an exit from the European Union.

Although they did not specify a time frame, Francois Hollande, the French leader, said at the same news conference:  “Our responsibility is not to lose time in dealing with the question of the UK's exit and the new questions for the 27” other members. “There is nothing worse than uncertainty.”

That uncertainty wiped out £40 billion ($52 billion) from the U.K. markets on Monday. The pound also continued its slide, closing at a more than three-decade low against the dollar. The country’s credit rating was also downgraded:

Read our latest Research Update on the United Kingdom here: https://t.co/ZTEkVyxRIW

— S&P Global Ratings (@SPGlobalRatings) June 27, 2016

S&P said: “The downgrade … reflects the risks of a marked deterioration of external financing conditions in light of the U.K.’s extremely elevated level of gross external financing requirements. … The negative outlook reflects the risk to economic prospects, fiscal and external performance, and the role of sterling as a reserve currency, as well as risks to the constitutional and economic integrity of the U.K. if there is another referendum on Scottish independence.”

Meanwhile there have been reports of a 57 percent increase in reported hate crimes since the referendum. The Guardian adds:

A spokesperson for the national police chiefs council said these figures should not be read as showing a 57% increase in hate crime, but an increase in reporting through one mechanism. Other hate crimes are reported directly to police forces, or to community groups like Tell Mama and Community Security.

The turmoil in the Labour Party is continuing, as a no-confidence motion against Jeremy Corbyn is planned for Tuesday. But Corbyn is popular among the party’s rank and file and there was a counter-protest Monday against the attempt to oust him.

"Kick out the Tories, red and blue. Stop the anti-Corbyn coup," is the chant that greets me in Westminster. pic.twitter.com/r2CL4xqo0D

— Siraj Datoo (@dats) June 27, 2016

June 27 at 7:43 a.m.

The leaders of Germany, France, and Italy will meet Monday in Berlin to discuss Britain’s decision to leave the European Union.

Steffen Seibert, German Chancellor Angela Merkel’s spokesman, said the European Council will only begin looking at an agreement for the U.K. to leave the EU once the British government invokes Article 50 of the Treaty of Lisbon.

“One thing is clear: Before Britain has sent this request, there will be no informal preliminary talks about the modalities of leaving.” he said, adding the German government would understand if “the U.K. government needs a reasonable amount of time to do that.”

But, he added, the uncertainty cannot be allowed to persist. Indeed, financial markets remain volatile, and George Osborne, Britain’s chancellor of the exchequer, has tried to calm them:

It is inevitable, after Thursday’s vote, that Britain’s economy is going to have to adjust to the new situation we find ourselves in.

In the analysis that the Treasury and other independent organisations produced, three particular challenges were identified – and I want to say how we meet all three.

First, there is the volatility we have seen and are likely to continue to see in financial markets.

Those markets may not have been expecting the referendum result – but the Treasury, the Bank of England, and the Financial Conduct Authority have spent the last few months putting in place robust contingency plans for the immediate financial aftermath in the event of this result.

We and the PRA have worked systematically with each major financial institution in recent weeks to make sure they were ready to deal with the consequences of a vote to leave.

Swap lines were arranged in advance so the Bank of England is now able to lend in foreign currency if needed. As part of those plans, the Bank and we agreed that there would be an immediate statement on Friday morning from the Governor, Mark Carney.

As Mark made clear, the Bank of England stands ready to provide £250 billion of funds, through its normal facilities, to continue to support banks and the smooth functioning of markets.

And we discussed our co-ordinated response with other major economies in calls on Friday with the Finance Ministers and Central Bank Governors of the G7.

The Governor and I have been in regular touch with each other over the weekend – and I can say this this morning: we have further well-thought-through contingency plans if they are needed.

In the last 72 hours I have been in contact with fellow European finance ministers, central bank governors, the managing director of the IMF, the US Treasury Secretary and the Speaker of Congress, and the CEOs of some of our major financial institutions so that collectively we keep a close eye on developments.

It will not be plain sailing in the days ahead.

But let me be clear. You should not underestimate our resolve.

We were prepared for the unexpected.

We are equipped for whatever happens.

And, he added: “Only the U.K. can trigger Article 50, and in my judgement we should only do that when there is a clear view about what new arrangement we are seeking with our European neighbors.”

Those remarks did little to assuage the financial markets, though. All major European markets were down sharply, as was the pound, which slid further against the dollar.

Boris Johnson, the former London mayor who headed the “leave” campaign and who is seen as a possible successor to Prime Minister David Cameron, said in his newspaper column Monday that those who voted to leave should “build bridges” with those who wanted to stay in the EU. The U.K., he wrote in The Telegraph, would always be “part of Europe” and “there will continue to be free trade, and access to the single market.”

Meanwhile, the Labour Party’s implosion continued Monday with more members of the shadow Cabinet resigning in an attempt to force Jeremy Corbyn, the party’s leader, to step down after the country’s vote to leave the EU. Corbyn had campaigned for Britain to remain, but his critics say his effort was half-hearted.

Maria Eagle, the shadow secretary for culture, media, and sport resigned Monday, as did Angela Eagle, the shadow business secretary, Neil Griffith, the shadow secretary for Wales, Lisa Nandy, the shadow secretary for energy and climate change, and Owen Smith, the work and pensions spokesman.

Here’s a full list of who has left the shadow cabinet—the opposition group that corresponds roughly to the government’s ministers—and those who have been fired.

2:17 p.m.

Could Scotland veto the Brexit vote?

Nicola Sturgeon, the first minister of Scotland—which voted 62 percent in favor of staying in the European Union—raised the possibility in interviews Sunday morning. On Saturday, the Scottish National Party leader, who two years ago pushed for and lost a referendum on Scottish independence from the United Kingdom, vowed to hold discussions with the European Union aimed at preserving Scotland’s position within it even as the rest of the United Kingdom withdrew.

Speaking to the BBC on Sunday, she said that, “from a logical perspective,” the U.K. should be required to seek the consent of Scottish Parliament to move forward with extricating itself from the EU, though she acknowledged, “I suspect the U.K. government will take a very different view on that.” She said that if such “legislative consent” were requested, she would ask parliament to withhold it. (Sturgeons’ SNP is the largest party in Scotland’s Parliament, with 63 of 129 seats.)

The vote, if held, might have more political consequences than legal ones, however, as the Scottish Conservative MP and constitutional law expert Adam Tomkins pointed out via The Guardian:

[The Scottish Parliament in] Holyrood has no power to block Brexit. It is not clear that a legislative consent motion would be triggered by Brexit, but withholding consent is not the same as having the power to block. The Scottish parliament does not hold the legal power to block [the U.K. exiting the EU].

June 26 at 11:03 a.m.

The turmoil within the opposition Labour Party has intensified. Six Labour cabinet members resigned Sunday, following after Hilary Benn, who was fired by Labour Party leader Jeremy Corbyn Saturday after Benn told Corbyn he had lost confidence in Corbyn’s leadership. According to The New York Times, the following people have quit:

Heidi Alexander, who speaks for the party on health issues, stepped down, with others following: Gloria De Piero, youth affairs; Ian Murray, for Scotland and Labour’s only remaining member of Parliament there; Lilian Greenwood, transport; Lucy Powell, education; and Kerry McCarthy, environment.

Greenwood sharply criticized Corbyn in an interview Sunday that was reported in The Guardian:

Lilian Greenwood, who resigned earlier as shadow transport secretary, has just told Sky News that having sat in the shadow cabinet for nine months she is clear that Jeremy Corbyn is not suited to be leader.

She said she would not be standing herself for the leadership. She did not have the skills set for that, she says. Asked who she would like to see leading the party, she said there were a number of suitable candidates.

Corbyn has no plans to buckle, according to a statement from his office to several news organizations. “There will be no resignation of a democratically elected leader with a strong mandate from the membership,” it said.

June 25 at 9:42 p.m.

The turmoil within Britain’s two largest political parties continues to grow after Thursday’s stunning vote.

Labour Party leader Jeremy Corbyn sacked Hilary Benn, the shadow foreign secretary, late Saturday night amid reports Benn was orchestrating an internal coup against Corbyn’s leadership. Two Labour MPs previously said Friday they are pushing for a vote of no confidence against Corbyn, which could come as early as next week.

Corbyn has faced criticism from within his party and from other Remain campaigners for not working hard enough to prevent a Leave victory, a claim he strongly disputes.

Among the Conservatives, Leave figurehead Boris Johnson is the likely frontrunner to replace David Cameron as party leader and prime minister. Fellow Leave campaigner Michael Gove, the British Justice Secretary, backed Johnson Saturday night.

But his road to Downing Street isn’t clear yet. Conservative MPs wary of Johnson’s leadership are reportedly rallying behind Home Secretary Theresa May, who backed Remain but kept a low profile during the campaign. Other top Tories who could seek the post are Energy Secretary Amber Rudd and former Defense Secretary Liam Fox.

Updated on June 25 at 3:34 p.m.

While the world—and certainly its financial markets—are acting as if the sky has fallen on its head, the German Foreign Office provides some perspective on its Twitter feed:

We are off now to an Irish pub to get decently drunk. And from tomorrow on we will again work for a better #Europe! Promised! #EURef

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