UK Prime Minister Theresa May is set to meet President of the EU council Donald Tusk in Gothenburg today to discuss the future relationship between the UK and EU. Reports are suggesting that the Prime Minister is willing to now offer close to €40bn in a bid for the EU to open the door to trade negotiations. In addition David Davis will address the public in Berlin today and it may become public knowledge about the exact amount the UK have offered.
Theresa May’s government have made it clear that they are desperate to move to stage 2 (trade) negotiations by December. Could today be the day when developments are made and the pound makes considerable gains against all of the major currencies?
For people that hold are holding on to a foreign currency to buy pounds, I believe converting now is your option. At present you are still receiving ‘the Brexit discount’ and this could all change as soon as trade discussions begin. To put this into monetary terms, did you know that a €200,000 transfer into sterling now compared to 18 months ago generates my clients an additional £25,000! If you have sold a property abroad is it worth gambling on an economic event that could go either way?
When buying or selling pounds for a business transaction, property purchase/ sale or when making a one off transfer, it’s important to get two factors right before you make the conversion. Firstly to choose a brokerage that offers fantastic rates of exchange. Secondly, understanding factors that impact exchange rates, which will help you to make an informed decision of when to purchase.
If you are making a currency conversion in the upcoming weeks or months, I would recommend emailing me with the currency pair you are converting (GBPEUR, GBPUSD) the reason for your transfer (business transaction, property purchase) and the timescales you are working to and I will respond to your email with my forecast and the process of using our company email@example.com.