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Pound To Euro Exchange Rate Drops Further, But Ex-Boris Advisor Says It’s ‘Not A Currency Crisis’

While there would be “winers and losers” from a weak pound, Lyons said the Chancellor needs to have a “positive outlook” and a “clean Brexit” and clear policy around leaving the EU would “help confidence in the long term”.

But Ngaire Woods, professor of Global Economic Governance at the University of Oxford and a Remain supporter, said that there was a serious concern over “Finding jobs for people across Britain, many of whom voted for Brexit. They need good quality jobs. I think it’s fine to say ‘this is good’ if you’re in the city and you’re trying to sell London property.”

Today host Nick Robinson suggested both Lyons and Woods were using the pound’s situation as “political capital” for their view on Brexit.

Woods added that there had been an instant negative effect on importing things like machinery and medical equipment from America, which she said “help us make things” and support the NHS. 

She said two things were “looming” over British businesses and causing the “jitters” in the pound.

“[There is] a new uncertainly over whether they can hire foreign workers… and the other is their trade access. Nissan has already said that they can’t make a decision to invest in Sunderland because of the uncertainty.”

On Friday the pound suffered a mysterious sudden collapse, causing one expert to say the foreign exchange market bears an “uncanny resemblance to the five stages of grief” after the Brexit vote.

The Bank of England said it was “looking into” the flash crash that sent sterling plunging 6% overnight – its lowest value since Britain voted to leave the EU.

Article source: http://www.huffingtonpost.co.uk/2016/10/11/pound-to-euro-exchange-rate_n_12437036.html?utm_hp_ref=uk-politics&ir=UK+Politics