The Pound to Euro (GBP/EUR) exchange rate ticked lower at the start of this week, following warning UK economy will ‘limp along’ in 2024.
At time of writing the GBP/EUR exchange rate was trading at around €1.1606. Down roughly 0.2% from Monday’s opening rate.
Pound (GBP) Exchange Rates Slide on Weak UK Growth Outlook
The Pound (GBP) faced resistance on Monday following a warning that growth in the UK economy will remain modest through 2024.
According to the latest forecasts from accountant giant KPMG, the UK’s economy is currently ‘limping with a sprained ankle’ as growth is undermined by high interest rates and geopolitical uncertainty.
Given the Bank of England (BoE) concluded its final policy meeting of the year last week by reiterating that interest rates will need to remain higher for longer, it’s unlikely the UK economy will see much relief from this.
KPMG forecasts that UK GDP in 2024 will rise by 0.5%, maintaining the same pace of growth it expects the UK to have seen this year.
Yael Selfin, chief economist at KPMG UK, comments: ‘While the UK economy is…
