The pound to euro exchange rate has slipped slightly following the surge in Brexit optimism early this week. GBP is currently trading at €1.166 against the euro, according to Bloomberg at the time of writing. Prime Minister Theresa May announced on Monday that the parliamentary vote on Brexit will be delayed. Investors’ optimism came as May offered MPs the chance to delay Brexit if her deal is rejected this month.
Pound to euro exchange: GBP slips as Brexit optimism settles following deal hope
Reports also suggest that the Prime Minister may also extend Article 50.
Attention now rests on May who – provided with a series of "next steps" – must now attempt to gain support for her withdrawal deal both from Parliament and the EU.
The PM gave a speech in the Commons about the UK leaving the EU on Wednesday.
She said: “I have found a real determination to find a way through which allows the UK to leave with a deal. That engagement has already begun to bear fruit. Parliament should do its duty so our country can move forward.”
Sterling’s recent tumble came despite better-than-expected UK GfK consumer confidence figures for February, which rose to -13 against January’s -14.
Joe Staton, Client Strategy Director at GfK, remained optimistic, saying: “It is worth bearing in mind that many economic indicators – employment levels, wage growth – remain positive.
Pound to euro exchange: GBP slips as Brexit optimism settles following deal hope (Image: Getty Images)
“But it is frankly amazing that confidence is so stoic and stable in a world of sharp political instability and fear of the unknown.”
Meanwhile, in Brexit news, Wednesday night saw the House of Commons vote on various amendments, with Labour MP Yvette Cooper’s proposal passing by 502 votes to 20. This has lowered the likelihood of a no-deal Brexit and buoyed optimism on the possibility of a second referendum.
Jake Trask, FX Research Director at OFX, said: “As we approach a series of crunch Parliamentary