The pound-euro (GBP/EUR) exchange rate fell for a fourth straight session, to levels last seen in May 2023.
The pound fell but at a slower pace amid worries over the UK’s fiscal outlook ahead of the November 26 budget.
Reports suggest Chancellor Rachel Reeves may raise income tax by 2p, breaking a manifesto pledge, as borrowing hit £20.2 billion in September and debt reached 95% of GDP.
The euro gained after the ECB kept rates at 2% for a third meeting, saying that monetary policy was in a good place.
Inflation is close to target, and Q3 growth was stronger than expected at 0.3% QoQ. No further rate cuts are expected this cycle.