Although sterling ended last week around 0.5% off its peak, it has already recovered most of that this morning. Against USD the pound is well ahead of this time last week.
An interview on Radio 4 this morning from the governor of the Bank of England Andrew Bailey gave few clues as to future monetary policy ahead of this week’s interest rate decision. He poured cold water on the idea that inflation might hit 4 or 5% by the end of the year, but said that he did expect the economy to be back to where it was at the end of 2019 by the end of 2021.
Even so, having spent all Saturday at the (currently all virtual) Your Overseas Home show, it was interesting being among people who remember inflation when it was significantly higher than today and the effect that has on your savings. You can see why there might be an appetite for getting a better return on your money, such as buying overseas property.
With sterling well above its average level for the past three years this could well be the time to move into overseas property, not just as an investment but for the fun of it too.
The main topics of conversation on Saturday were about post-Brexit visas for retirement in Europe, and the clear pattern emerging is that people are working out how to work within the rules to achieve what they want, that the visa specialists to help you are emerging and that it’s all less alarming than expected.
If you are working through how you can move abroad, get a visa, buy a property safely, etc, I do recommend speaking to the people at Property Guides on 020 7898 0549 – they have contacts with all the property and visa specialists, health insurers etc. to sort you out too.
For currency, the pound is still at a rate we would have fought for during most of the past three years, so do consider locking it in if you’re buying or moving abroad this year.
Have a chat with your trader about it on 020 8108 5337.
