Tonight:
5°c
Pound still going down
Hugo Duncan12 Dec 2008
THE run on the pound continued today as sterling headed towards parity with the euro.
Sterling slumped nearly a cent against the single currency to a new all-time low of €1.1211.
The pound was buying even less at the tourist rate with holidaymakers able to buy little more than €1 with £1 at bureaux de change.
Sterling has crashed by more than 25 per cent over the last 18 months and more than 12 per cent since September on fears over the state of the UK economy.
It is bad news for those heading to the continent this winter with everything from hotel rooms in Paris to ski passes in the Alps far more expensive than a year ago.
Investors are dumping the pound in favour of the euro on signs the UK recession will be longer and deeper than on the continent. The euro was trading at 89.01p.
Reader views (2)
The pound is still going down! Where do you expect it to go? We have Mac-Mugabe-Brown attacking off shore accounts and breaking into legally held safe deposit boxes just because the Mac-Mugabe-Mod were jealous and wanted to create more politics of envy. Going after people with big cars big houses. But the loonies forget all their top liars live that way now. All still jealous and envious of others although they are now the ones with big status symbols. Just get rid of loony lying scum-bags.
- Mike, London, 13/12/2008 19:20
Report abuse
The world has voted on Labour's financial policies,found them wanting, and so withdraw support for sterling.
Now, the rest of us will pay for this through inflation, unemployment, and higher taxes.
I extend my thanks to everyone who voted for these people. You got what you deserved in the end.
- Dave Davies, Basingstoke, 12/12/2008 10:33
Report abuse
