‘No deal’ warning by Rees-mogg fund

JACOB REES-MOGG has defended Somerset Capital Management (SCM), his hedge fund, setting up an investment fund in Ireland after it emerged its clients were warned about the risks of a hard Brexit.

It is potentially embarrassing because he has suggested that a hard Brexit, when the UK would walk away next year without an exit deal or trade arrangement, should not be ruled out.

Mr Rees-mogg said the warnings of the risks of Brexit were “not a policy statement by SCM” but simply guidance to investors drafted by lawyers.