Finally we have some good news for the Pound and the knock on effect for the Euro and other exchange rates. The cause or causes are probably down to two reports, the first has the National Institute of Economic and Social Research (Niesr) expecting the economy to contract by 0.2pc by the end of the year and then showing a small amount of growth. The second Ifo business confidence index, has the German economy falling into a slump over the summer.
A trend now for 11 days
Between the two of them, good news over here and bad news ‘over there’ there has been enough of a push to increase the value of a Pound. On the 5th of August the best rate we could find was just €1.1397. Right now it is sat at €1.1529 and at close of business yesterday it was €1.1600. One a typical holiday budget of £1,000 that makes juat a €14.20 saving but the point is that we have had a trend now for 11 days where the rate has slowly bobbled upwards giving better value for money.
It could be too late for most summer holiday makers but for those that do not have school age children and can take late breaks or are looking for to extend the summer with some autumn sunshine this could be just what the doctor ordered.
If this uptick in the value continues then it could be good news for struggling British travel companies and we should see a spate of late bookings special offers in tne next few weeks.