Sterling dived in value against the euro yesterday, hitting an all time low of 1.1890. It has also fallen to a six-year low in dollar terms. A combination of unemployment figures at their highest for 10 years, and worries over deflation have prompted investors to sell sterling.
The pound is below $1.50 for the first time since July 2002. Holidays in the Euro zone will now cost approximately 20% more than a year ago.
Buying a EUR500,000 house in France at the end of 2007 would have cost £354,600; today the sterling price would be £420,520.
See the FT Adviser which argues that the recession could result in a parity between the euro and sterling by the end of 2009
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‘To this day, it is as attractive as when Hercules first laid eyes on it’: How to escape the crowds on the Amalfi Coast, according to those in the knowThe Amalfi Coast is one of the world’s most famed holiday destinations, but, in recent years, mass tourism has made parts of it unbearable. Here’s our guide to making the most of it — in peace and in style.
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The garden created by a forgotten genius of the 1920s, rescued from 'a sorry state of neglect to a level of quality it has not known for over 50 years'George Dillistone’s original Arts-and-Crafts design at Knowle House, East Sussex, has been lovingly restored and updated with contemporary planting. George Plumptre tells more; photography by Clive Nichols.
