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Mickey From The UK   >   GBP At Record Low Levels Against USD


GBP At Record Low Levels Against USD

GBP At Record Low Levels Against USD


The Great British Pound's (GBP) value against the United States Dollar (USD) has sunk to near record low levels this week. Since 2003 records, the only two times the pound has been this low was after the Brexit vote in 2016 and the beginning of the COVID-19 pandemic in 2020. The Bank of England today (via BBC) increased interest rates in the UK to 1% and forecasted growth of -0.25% as inflation goes into double digits, pushing the pound's value down 2% to 1.234 against the dollar. Usually, when interest rates rise, the value of currency increases. However, because the US Fed are increasing more aggressively, any gains of the GBP is wiped out by strong moves over the pond.

This won't have an immediate effect on holiday prices, as most big companies like Disney tend to hedge against currency volatility, but it does mean that it will cost just a little extra to buy your Mickey plushies if you're heading to the USA this Spring.


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