Sterling was given a boost yesterday afternoon following a joint statement from Boris Johnson and the Irish Prime Minister, Leo Varadkar. It said that the two leaders could see a ‘pathway’ to a Brexit deal, following negotiations which took place yesterday afternoon. The two leaders had “constructive” talks and believe that a deal is in “everybody’s interest.” Sterling remains strong against both the euro and the dollar this morning.
Both leaders agreed to reflect on their discussions and said that officials from both sides would be engaging in intensive talks. Brexit Secretary Stephen Barclay and the EU’s Chief Negotiator, Michel Barnier will meet today.
Data released yesterday showed that while the UK economy is still weak, it is likely to avoid a recession despite Brexit uncertainty. GDP had risen by 0.3% in the three months to August, beating forecasts due to strength in the service sector and a lift in TV and film production
