The pound – euro (GBP/EUR) exchange rate rose 0.75% last week to settle on Friday at €1.2075.
The pound rose after UK retail sales rose 1.7% MoM in January, up from -0.6% decline in December and ahead of the 0.5% that economists forecast.
This marked the fastest jump in sales since May last year. While food sales rose sharply, other sectors saw sales decrease.
The euro fell on Friday after eurozone composite PMI data remained unchanged at 50.2 in February. Manufacturing contracted at a slower pace and services grew at a slower pace.
The consumer remains cautious and cost pressures ticked higher.