The pound euro (GBP/EUR) exchange rate is falling after four days of gains.
The pound is under pressure as investors focus on the Gorton and Denton by-election, seen as a key test for Prime Minister Keir Starmer after recent leadership challenges. A potential Labour loss could renew political uncertainty.
Concerns over the economy have also risen after data showed nearly one million young people are not in work, education, or training.
The euro is modestly firmer after ECB President Christine Lagarde reaffirmed she will serve her full term and reiterated expectations that inflation will return to the 2% target, with no rate changes expected this year.