Brits urged to buy Euros currency tonight as ‘exchange rates to crash’ – Mirror Online

Brits needing a supply of holiday cash have been advised to swap their GBP before Boris Johnson gets into power.

It is expected that tomorrow morning the former Mayor of London will be elected leader of the Conservative Party.

While this might be a point of enthusiasm for those pushing for a low-tax economy and a hard Brexit , people looking to build up some foreign reserves may be less enthusiastic.

It is expected the value of the pound will plummet if and when Mr Johnson is announced as the winner of the leadership campaign.

The currency’s falling value in relation to the euro and US dollar means those planning a trip abroad will be out of pocket.

Currency traders are thought to be unimpressed with Mr Johnson’s ‘do or die’ attitude to Brexit, with foreign investors likely to think twice about pouring capital into a no deal Britain.

Michael Brown, a senior currency analyst at Caxton FX, told Daily Star Online : “There’s no certainty with the pound right now as it is especially vulnerable to the on-going political uncertainties and developments related to Brexit.

“It fell to a more than two-year low against the US Dollar earlier this week as markets began to once again price in the risk of a no-deal Brexit further to comments from Boris Johnson that the Irish backstop is ‘dead’, and reports that the suspension of Parliament to force through a no-deal Brexit was under consideration.”

Since Britain voted to leave the EU the pound has fallen by 14% against the euro.

Last Wednesday it hit a six-month low of €1.105, dropping to $1.24 against the US dollar.

Analysts at Morgan Stanley say that were the UK to leave the EU without a deal on 31 October the rates could fall to £1 being worth $1.

That would threaten the all-time low of $1.04 reached briefly in early 1985.