Commons Chaos Threatens Speaker's Position, But Little Impact For Markets

News headlines in the UK are dominated by speculation about whether the position of House of Commons Speaker Sir Linsay Hoyle is still tenable followingchaotic scenes in the Commons on 21 Feb. At least 57 MPs, all either Conservatives or from the Scottish National Party (SNP), have signed a motion of no confidence in the speaker.

• While the political furore surrounding the issue has transfixed political observers, the impact for markets is minimal. The Labour motion passed 'on the nod' does not change UK gov't policy towards the Israel-Hamas war in Gaza. There is no official method to remove a speaker from the chair, it would be down to Hoyle's discretion in whether he resigns or not.
• The furore stems from Hoyle's selection of a motion from the main opposition Labour party calling for a 'humanitarian ceasefire' in Gaza. This is despite 21 Feb having been designated as an SNP opposition day, meaning that the left-wing pro-Scottish independence party would usually have its motions voted on.
• A tweetfrom the BBC's Nicholas Watt, indicating that the Speaker had been pressured by Labour figures to select the party's motion caused uproar.
• Unlike in, for example, the US the Speaker of the House of Commons is a nominally neutral figure who gives up their party allegiance when they are led to the chair. The allegation against Hoyle is that he may have acquiesced to a request/demand from the Labour party (Hoyle was first elected as a Labour MP in 1997) in a partisan fashion.