Theresa May was forced into proposing a motion to request a delay to the UK’s departure from the EU this week, after she failed to win a majority vote of support from Members of Parliament on her second Brexit deal. Last night, MPs voted to ask for a delay to Brexit, which was originally scheduled for this month on March 29. And, despite the uncertainty of Brexit, the pound has remained strong against the euro as this week draws to a close. Today, the GBP to EUR exchange rate opened at 1.1714, according to Bloomberg.
At the time of writing, it was trading at 1.1710, later dropping to 1.1675.
It came hours after the pound soared and steadied, trading at €1.172 against the euro yesterday morning.
Speaking last night following the latest vote in the Commons, Ian Strafford-Taylor, CEO of FairFX said that the pound remains strong against the euro, continuing its “high streak” from earlier this week.
He told Express.co.uk: “In reaction to tonight’s vote, the pound stands strong at 1.17 against the euro, remaining on it’s high streak it reached earlier this week.”
However, while it may seem to have stood at a high value this week, Mr Strafford-Taylor pointed out that the figure is trading at a far lower figure against the euro than from back in June 2016, when the United Kingdom European Union membership referendum took place.
Speaking of the exchange rate, he said: “That said, it’s still down 10 per cent against the Euro compared to the day of the referendum.
“The pound has been on a rollercoaster journey since the UK voted to leave the EU, and this extension means there will be further twists and turns for the pound in the days and weeks that follow.”
So, what could it mean for those looking to travel in Europe in the future?
With so much Brexit uncertainty, some Britons have been left wondering when is the best time to exchange their money, in order to avoid losing out when buying currency.
And, according to the FairFX CEO, now may be the time.
In fact, should you be happy with the rate that’s currently available, he advised that buying euros now could be the “only way” to guarantee the rate for a future holiday.
He said: “A question we’ve been asked a lot is whether or not you should buy your holiday money now while the pound is on a high against the euro.
“It’s certainly in one of the strongest positions against the euro since the referendum took place so if you’re happy with the current rate on offer, buying your currency now is the only way to guarantee this rate for your future holiday.”
Yesterday, FairFX discussed how it had been a “busy week for Brexit and the pound”.
“In the last three days alone we’ve already seen the pound fluctuate two per cent against the euro,” the currency expert said yesterday.
“Parliament’s decision to vote against a no-deal Brexit means we’re still no closer to knowing exactly when and how Brexit will play out, if at all.
“All this uncertainty leaves the pound vulnerable to fluctuations and at this point, it’s hard to say whether that will be for better or worse.”