The pound to euro exchange rate continues to trade around the 1.16 mark, with experts suggesting there will be little in the way of movement over the next 24 hours. The steady position comes as Britons enter the second week of being legally allowed to jet off abroad under the Government’s “traffic light” system.
The pound is currently trading at a rate of 1.1611 against the euro according to Bloomberg at the time of writing.
Michael Brown, currency expert at Caxton FX, told Express.co.uk he believes the exchange rate will remain “rather subdued” over the course of the coming day.
He said: “The market remains rather quiet as the new trading week gets underway, with GBPEUR continuing to trade just a handful of pips either side of the 1.16 handle, and doing very little of any interest.
“Today’s calendar also contains very little of any interest, meaning that a rather subdued, rangebound start to the week looks to be in order.”
In recent weeks sterling has managed to regain strength thanks to a positive economic outlook and the impact of the Covid vaccine roll-out across the UK.
The euro has strengthened considerably over the past six weeks, climbing about four percent against the US dollar and keeping the British Pound at bay around the €1.16 mark,” explained George Vessey, UK currency strategist at Western Business Solutions.
With many Britons now gearing up to jet off to “green list” destinations, such as Portugal, experts have urged travellers to stay up-to-date on any major developments before purchasing any travel money.
“For those looking to travel abroad this summer, following the pound and keeping an eye on both exchange rates and the latest travel announcements are some of the best and most simple ways to make sure they get the most for their money,” said Ian Strafford-Taylor, CEO at travel money specialist FairFX.
“Although 12 countries and territories appear on the approved green list, holidaymakers will be hoping for more positive news at the next review in three weeks’ time, as many of our favourite summer destinations are still in the precarious amber category.
“Countries like Australia and New Zealand also offer little to Brits hoping for some summer sun as their borders remain closed.”
Similarly, James Lynn, CEO and co-founder of Currensea, added: “While it’s excellent news international travel is opening up, the proposed traffic light system will mean there will still be an element of disruption this summer, both to travel companies and consumers.
“Extra caution and careful planning will be really important when it comes to planning holidays this year – and keeping abreast of the latest updates will be key.
“Financial safety when travelling must also be top of mind for consumers. Sudden changes and cancellations, which remain likely could put travellers at risk if the right precautions aren’t taken.”
Secretary of State for Transport Grant Shapps has stated the “green list” will be reviewed “every three weeks”.
The next review is anticipated on or around June 7, 2021.
Mr Shapps also told the Financial Times: “I don’t think people have a very long time to wait before other countries are able to join the green list.”
This means more holiday hotspots could make it onto the list.
Though it is not clear which destinations will make it onto the travel list at the next review, there is some hope for Spain which recently relaxed its border controls for UK arrivals.
Spanish Prime Minister Pedro Sánchez announced last week: “I am pleased to inform you that the ministerial order will be officially published today exempting citizens from the UK and other countries such as New Zealand, South Korea or China from temporary restrictions for non-essential trips to Spain.”
Britons can now enter Spain for “non-essential” purposes, including holidays.
Despite this, the nation currently remains on the UK “amber list”.