Britain PM Boris Johnson loses majority after rebel Tory MP defects to Liberal Democrats

British Prime Minister Boris Johnson lost his working majority in parliament on Tuesday when one of his Conservative lawmakers defected to the pro-European Union Liberal Democrats.

Phillip Lee crossed the floor of the House of Commons just as Johnson began giving a statement on last month's G7 summit.

"I have reached the conclusion that it is not possible to serve my constituents' and country's best interests as a Conservative Member of Parliament," Phillip Lee said in a statement.

"This Conservative government is aggressively pursuing a damaging Brexit in unprincipled ways. It is putting lives and livelihoods at risk unnecessarily and it is wantonly endangering the integrity of the United Kingdom," Phillip Lee said.

STERLING REBOUNDS AFTER PM JOHNSON LOSES MAJORITY

Sterling rebounded on Tuesday to hit $1.2103 after British Prime Minister Boris Johnson lost his working majority in parliament when one of his Conservative lawmakers defected to the pro-European Union Liberal Democrats.

"In the immediate near-term, it makes a no-deal Brexit slightly less likely," said Fritz Louw, currency analyst at Mitsubishi UFJ Financial Group (MUFG).

He added that the bounce was likely to be short-lived.

Sterling also rallied against the euro and was the last trading at 90.70 pence, up 0.4 per cent on the day.

UK PM JOHNSON SAYS REBEL BREXIT LAW WOULD DESTROY NEGOTIATIONS

British Prime Minister Boris Johnson said on Tuesday he had achieved "real momentum" in Brexit talks with the European Union (EU) over the summer and that a bid by lawmakers to pass a law to block a no-deal exit would destroy the negotiations.

Lawmakers opposed to a no-deal exit plan to seize control of parliamentary time on Wednesday to pass the legislation, which Johnson said would "force us to beg for yet another pointless delay".

"If that happens, all the progress that we have been making will have been for nothing ... It would destroy any chance of negotiation," Boris Johnson told lawmakers, urging them to reject the legislation.