Brexit - Are you prepared?

As June 23rd EU Referendum Looms

We are just five weeks away from one of the biggest UK political decisions in recent times.

The "Brexit" and "Bremain" campaigns are well underway and has already been divisive – just look at the rhetoric from David Cameron and Boris Johnson.

Analysis has been put forward by both sides claiming the population will be better off if we follow their lead.

In reality, most economic arguments from one camp are contradicted by the opposing camp, making it very difficult to work out the reality.

What is clear, is that debate is heating up, and with the controversial televised debates in early June, voters will have an increasing barrage of news flow, which could have a significant impact on the polls, and the pound.

What do the Polls say?

The polls currently show a slight bias towards staying in EU, with volatility likely before 23rd June if this balance shifts as we saw in the run up to the Scottish referendum. Even before the referendum, we could see moves between 1.41 and 1.48 against the US dollar, based on the five weeks before the Scottish referendum.

Forecasting what may happen

A wide range of post-referendum outcomes, has been put forward by economists and statisticians, including by our very own Bank of England governor, Mark Carney. Their suggestion is that sterling is 9% weaker on a trade weighted basis as a result of the referendum uncertainty. The suggestion is that we could see significant strength for the pound if the vote is to stay in the EU.

Forecasts of what might happen if the UK votes ‘leave’ are wide ranging, but suggest we could see a 10-15% fall in the value of the pound. Fitch’s report on Monday backed the political scaremongering with a worst case scenario of a 30% fall in the value of sterling on Brexit.

Potential Outcome of In / Out Result

These potential outcomes highlight the importance of making sure your business is ready no matter what the outcome is come 23 June 2016.

Scenario with USD 1 million versus sterling =

Scenario with EUR 1 million versus sterling =

To find out how this could affect you or to discuss how we can help...

Contact Us Today

We can provide rate certainty by locking into an exchange rate now in what could well be a turbulent time going forward.

So if you need to buy or sell sterling and would like to be kept up to date with all the latest data releases and exchange rate movements then feel free to contact myself Ben Amrany. If you are buying or selling a house in France we will make sure your monies are in the right place at the right time, we work hand in hand with you and Cle France.

For more information on the currency service I can provide please feel free to contact myself...

Ben Amrany from FC Exchange follow this link or phone and ask for myself and quote "Cle France" on 020 7989 0000.

You may contact me directly using this form (click here) with your requirement and I will explain the options that are available to you in getting the best exchange rate.