Sterling nudged up against major currencies this morning ahead of the so-called ‘meaningful vote’ on the terms in which Britain cuts ties with the bloc. As of 15:00 GMT, with just hours to go until MPs decide whether to back Prime Minister Theresa May and her vision for Brexit, the pound has somewhat lost ground as investor nerves begin to manifest before the vote. The pound is down to €1.1210 against the euro after earlier climbing to €1.1261. Versus the US dollar, Sterling is worth $1.2837, having fallen from $1.2913.
But just how much value has the pound shed since the Brexit referendum took place two-and-a-half years ago?
According to FairFx, today the pound is down 14 percent against the euro and 13 percent against the US dollar compared to the day of the referendum in 2016.
This is the equivalent of holidaymakers getting around £160 less euros for their money and £149 worth of US dollars less for every £1,000 exchanged.
In more positive news, the pound is up 2 percent against the euro compared to the start of 2019, while it is also up 1 percent against the US Dollar.
Ian Strafford-Taylor, CEO of currency expert, FairFX says: “The outcome of tonight’s MP vote could change the course of the UK’s history significantly, whatever it may be.
“Yesterday, Theresa May said that a no-deal outcome would cause turbulence to our economy, and that’s true.
“However, if MPs vote in favour of her deal it also leaves the UK in unchartered territory as we move closer to leaving the EU.
“If the outcome of tonight’s vote provides a catalyst for a second referendum, the UK faces even more uncertainty, and uncertainty is without doubt one of the biggest causes of volatility for currency.
“Currency should be a big deciding factor behind holiday planning so savvy holidaymakers should be keeping a very close eye on currency and it’s reaction to political events over the coming days.
“By choosing a destination where the pound is performing well, the amount of money you need to enjoy yourself while you’re abroad will decrease, allowing you to see more of the world, for much less.”
Mrs May has called on politicians to back her agreement and the terms in which the UK will withdraw from the European Union (EU) in a series of debates across the last five days.
Voting will start this evening at around 19:00 GMT and is expected to last up to two hours.