According to Bank of England’s Deputy Governor Ben Broadbent, as odds of a no-deal Brexit rise higher, UK businesses could cancel upcoming investment opportunities in the aftermath of UK’s departure.

In 2018, business investment fell lower as companies put their plans on hold while waiting for the terms of Brexit to become clearer. The figure has improved slightly in 2019 so far, but a no-deal Brexit could put a halt to that.

As the Brexit deadline nears, businesses are preparing for the worst case scenario as they feel that the economic impact of Brexit would be long lasting until the dust settles. Broadbent expects business investment to continue trickling down as the date for UK’s exit from the EU approaches.

On Tuesday, GBP/USD continues to trade bearish, trading at around 1.27 at the time of writing.