The pound euro (GBP/EUR) exchange rate is falling after five days of gains.
The pound is pausing after rallying to a five-week high against the euro but is weaker versus the US dollar as markets assess the impact of rising oil prices on the UK economy.
Concerns over higher inflation and mortgage rates have weighed on housing demand, with new buyer enquiries falling sharply and lenders withdrawing hundreds of mortgage products.
The euro is modestly higher but remains pressured by Europe’s reliance on imported energy. Rising bond yields across the eurozone have fuelled expectations that the ECB could hike rates in July, despite potential risks to economic growth