Earlier this morning Mark Carney, the governor of the Bank of England suggested that the UK economy would have performed better had the vote been in favour of remaining in the EU.
He highlighted that the UK economy has gone from being the fastest growing economy in the G7 to one of the slowest.
On a more positive note he did state that the BoE will do whatever it can to support the economy whether there is no Brexit deal or a transitional one, and that the BoE will make sure inflation stays low and the banks stay strong.
There are a number of factors weighing on the Pounds value at the moment. Not only is Brexit uncertainty weighing on the Pounds value as financial markets await the outcome of Brexit negotiations and the proposed bills involved, but there could be further political uncertainty after it emerged that there is potential for another leadership contest within the Conservative party.
The above issues coupled with wage growth not keeping up with the rate of inflation are in my opinion legitimate reasons for a weaker Pound in future.
Next week the Autumn Budget will take place on the 22nd November, and it will be the first to take place in Autumn for more than 20 years. It’s significant as it will be the penultimate budget before Brexit so I expect the markets to follow it closely as any new updates regarding the governments plans could result in movement for GBP exchange rates.
If you have a large currency exchange to carry out in the coming days, weeks or months then you are more than welcome to speak with me directly as I will be more than happy to help you both with trying to time a transaction and getting you the top market rate when you do come to buy your currency. A small improvement in a rate of exchange can make a huge difference so for the sake of taking two minutes to email me you may find you save yourself hundreds if not thousands of Pounds. You can email me (Joseph Wright) on firstname.lastname@example.org and I will endeavour to get back to you as soon as I can.