Sterling has been under pressure this last week after suffering its longest ever losing streak against the euro since the creation of the single currency. This morning the pound was hovering around opening levels and was at €1.1316 as markets wait anxiously for news of Mrs May announcing her departure date. Against the US dollar, Sterling is trading higher at $1.2675 at the time of writing. The Times and Sky News are both reporting how Mrs May is expected to reveal when she will stand down as Conservative leader today, firing the starting gun for a new leadership race.
The Prime Minister is expected to meet the leader of backbench Conservatives, Sir Graham Brady, to discuss her future.
Mrs May has faced increased pressure to stand down in recent weeks after her authority was left in tatters following the backlash against her “new Brexit deal”.
A 1922 Committee source told the Press Association they expected June 10 to be the day Mrs May chooses.
They said: “Hopefully what will happen is she will stand down as Tory leader I think on or before June 10, and she will hopefully remain as caretaker Prime Minister until such time as a new Tory leader is elected.
“My feeling is that she will stay until June 10.”
The source said a new leader would ideally be in place by the end of the summer to get a Brexit deal through Parliament before October 31.
This is the date currently set for the UK’s exit from the European Union.
Connor Campbell, analyst at Spreadex, said: “Sterling seems pretty calm about all this at the moment, rising 0.1 percent against the dollar and starting unchanged against the euro.
“Given its morose May, however, that still leaves it in a terrible state.”
Foreign Secretary Jeremy Hunt said he expected Mrs May to still be Prime Minister when US President Donald Trump visits the UK on June 3.
In response to a question following a speech at the National Cyber Security Centre, he said: “Theresa May will be Prime Minister to welcome him and rightly so.”
It comes after Commons Leader Andrea Leadsom stood down in anger over the latest withdrawal agreement, which offered MPs a vote on whether to hold a second referendum.
Mrs Leadsom said the Prime Minister’s future was “a matter for her”.
The Prime Minister has appointed Mel Stride as Commons Leader following Mrs Leadsom’s departure.