As I mentioned in my post last night, the gains are due to reports that the UK will pay a ‘divorce’ bill to the EU of €50bn.
It could be argued that with the UK blinking yet again without the EU making any concessions, it does not bode well for future negotiations. However in terms of market reaction, the Pound has gained as it is now more likely that trade negotiations will begin in December.
For those that need to convert Sterling to Euros or other currencies, then it’s worth considering taking advantage of these gains. Only a few months ago the rate was as low as €1.07, and this makes a huge difference when converting a large sum.
Purchasing a €150,000 property in France or Spain today is £7500.00 cheaper than a few months ago due to the gains in the Pound. When you look at the last 8 months you can see the rate has reached these levels several times, before dropping back again each time.
While there is no way to know if that trend will be repeated again, I think that there is more chance of rates slipping back again than shooting up to €1.15.
If you need to perform a currency exchange and are looking for the very best rates of exchange, contact us today to find out more about the rates and services we offer. Typically our rates are 3% better than your bank would offer, and we usually have no problem offering better rates than other currency brokers.