Co-Operative Travel

Pound reaches new high against dollar

By Nicole Maher

13th January 2010

More people may be encouraged to book late deal holidays and jet off for a trip abroad, as the pound is currently riding high against the dollar.

This morning (January 13th), sterling hit a one-month high against the US currency, climbing by nearly 0.5 per cent to reach $1.6267.

According to Travelex, this is the highest since mid December and may be good news for anyone who is about to go on an all inclusive holiday.

This information comes after Bank of England Monetary Policy Committee member Andrew Sentence suggested that interest rates may be raised this year.

However, Mark Bolsom, head of the US Trading Desk at Travelex, said: “It’s very unlikely that they will raise interest rates above 0.5 per cent for the next six months at least.”

More people may be encouraged to book a trip to the US, especially after travel guide site Simonseeks recently revealed that 56 per cent of Brits are turning their backs on a staycation holiday this year.