23.07.202608:38:36UTC+00Pound Falls to 10-Day Low

The British pound slipped to $1.336 on Thursday, its lowest level in ten days, as investors weighed new fiscal measures alongside a more hawkish interest rate outlook. Finance Minister John Healey cautioned about rising business costs and ongoing cost-of-living pressures, deepening concerns over the UK’s inflation trajectory. Earlier, Prime Minister Andy Burnham announced a 20% cut in business rates for pubs, clubs, and live music venues starting in April, marking the third set of support measures for businesses and households in as many days. He also reiterated his commitment to fiscal discipline. At the same time, oil prices rose to near two-month highs amid escalating tensions in the Middle East, further stoking inflation risks. In response, money markets are now pricing in almost two quarter-point interest rate increases from the Bank of England by year-end.