City economists and commentators see no quick end to the UK’s political paralysis over Brexit, even after EU leaders agreed a six-month extension to the country’s leaving date.

Reacting to the news of the extension, agreed late on April 10 by a summit of national leaders excluding the UK, banks and fund managers said the delay was better than an immediate exit without a deal. The extension will be reviewed by EU leaders in June, though the UK could leave earlier if a form of May’s existing withdrawal agreement is passed.