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Subject

Brexit negotiations.

Significance

A Northern Ireland-specific agreement is now the best hope for UK Prime Minister Boris Johnson to deliver Brexit by October 31 with a deal. While Johnson would likely accept alignment of Northern Ireland with EU rules if this meant replacing the UK-wide backstop, convincing his Northern Irish allies in the Democratic Unionist Party (DUP) remains the key challenge.

Impacts

Delivering Brexit with a deal will increase the prospects for a UK-US free trade agreement.

A risk of a Northern Ireland backstop is that it will invite pressure from Scottish nationalists, who would want similar special treatment.

The EU is likely to accept an Article 50 extension request if an election or referendum is due to take place.

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