Sterling held steady on Friday, after Dominic Raab announced that the UK would extend lockdown measures for another 3 weeks.
The government also announced that it would extend the furlough scheme until the end of June, so ensure that businesses are supported throughout the coronavirus crisis.
Brexit negotiations between the UK and EU will resume again via video conference this week. The progress of these talks could affect the pound, as the possibility for a no-deal scenario at the end of the year would cause further uncertainty. So far, the government have said that they are not willing to extend the Brexit transition period.
This week, we’ll see a series of data for the UK. PMI data is expected to stay in contraction territory, whilst retail sales for March are predicted to show a significant drop.
