British Pound (GBP)
United Kingdom · Bank of England (BoE) · Free float
The British Pound (sterling) is the oldest currency still in use and one of the most traded, backed by London's position as a global financial centre.
Major contributors to the economy
- Financial services
- Professional and business services
- Manufacturing and aerospace
- Creative industries
- Energy
Key factors
- Bank of England policy. Rate decisions and the vote split of the Monetary Policy Committee move sterling.
- UK inflation. The UK has had higher inflation than peers, so CPI surprises matter a lot.
- Fiscal credibility. Budgets and government borrowing plans can move the Pound sharply.
- Trade relations. Post-Brexit trade terms with the EU affect the growth outlook.