The pound is in a stronger position against the euro and the dollar this morning, ahead of the ‘supplementary budget’. All eyes will be on Chancellor Rishi Sunak, as he is due to talk about government spending plans. This follows Boris Johnson’s ‘new deal’ for infrastructure spending which was released last week and was deemed insufficient by some.
Amongst other plans, he is expected to announce a ‘kick-start jobs scheme’ for young people between the ages of 16 and 24. This is part of a host of measures designed to help the economy recover in the wake of the coronavirus crisis.
Sterling rose to three-week highs against the euro and strengthened against the dollar yesterday afternoon, on hopes that Brexit negotiations would make progress. This occurred ahead of a dinner for chief negotiators from the UK and EU at Downing Street, where ‘informal talks’ were scheduled.
