The recent news from France, Greece and Spain has led to further uncertainty in Europe. This is turn has led to a slide in the value of the Euro to a bid rate of 1.2438 as reported by Reuters this morning. The tourist rate has also crept over 1.20.
What does this mean for UK PLC ?- Sterling strengthening is not good news for exporters and it is the weakness of sterling over the last 2/3 years which has kept some businesses alive.
It may also deter some tourists coming into the UK and encourage people to take holidays in Europe especially in Greece where there are bargains to be had.
So overall not good news, but this trend may not continue if the ECB is able to restore confidence. The only bit of advice I can give is to make sure you have mitigated this risk as far as possible – there are a variety of ways to do so – call me and I can talk you through your options.