Sterling has been enjoying a positive climb since Friday, as developments in the political world shine a positive light on the British currency. Beginning the week at its highest point since mid-June, the has only experienced a very minor dip over the last few days before regaining further strength, climbing to its highest level since mid-May. The GBP is currently trading at 1.134 against the euro, according to Bloomberg at the time of writing.
Yesterday, EU President Juncker suggested a deal was in sight between the UK and EU as the Brexit day rapidly approaches.
Speaking to Sky News President Juncker said: “we can have a deal.”
The EU Commission president acknowledged that a no-deal Brexit would have “catastrophic consequences” and vowed he was doing “everything to get a deal.
It is a positive change in direction, after an earlier meeting with Prime Minister Boris Johnson appeared to result in little decision.
Despite this the PM remained firm in his word that the UK would make its departure from the EU on October 31 “deal or no deal.”
Further political progress was made when the DUP softened its stance toward the Irish backstop policy.
Party leader Arlene Foster suggested that a Brexit deal could be possible if both sides are “flexible”.
Meanwhile the High Court has entered into the final stages of its decision regarding whether Johnson’s prorogation of parliament was ‘unlawful’.
Though the decision will have a major impact on both the Prime Minister’s role and the current headway being made in Brexit negotiations, the representing government lawyer, Lord Keen QC, vowed the Prime Minister would “take the necessary steps” to comply with the law.
Michael Brown, currency expert at Caxton FX, spoke to Express.co.uk regarding the latest exchange rate figures.
He said: “Sterling surged to its highest levels since mid-May on Thursday, as Brexit sentiment improved after EU Commission President Juncker commented that he is confident a Brexit deal can be struck, and is doing ‘everything to get a deal’.
“These comments served to further reduce the risk of a no-deal exit, helping the pound.
“Today, focus will remain on political developments, with the data calendar sparsely populated on both sides of the Channel.”
With the pound remaining strong this week, what can Britons heading for Europe do to ensure they get the most bang for their buck?
One way to ensure you aren’t stung by an unexpected rate plummet is by changing your money gradually.
Rob Stross, CMO of peer-to-peer travel money provider weSwap told Express.co.uk what tourists can do to be prepared.
“Exchange rate can vary from day to day, so families should ensure that they get the most out of their money as possible,” he said.
“WeSwap’s research has found that nearly half of all Brits find and buy their foreign currency on a single day, leaving them vulnerable to forces beyond their control that dictate the strength of the Pound.
“When shopping across travel money providers, holidaymakers should be aware of any up and coming big political dates and stagger travel money purchases accordingly, such as buying half of their currency beforehand and half afterwards as a simple way to mitigate risk.”
