The pound-euro (GBP/EUR) exchange rate remains below €1.1500.
Sterling is flat against the euro as markets weigh whether the US-Iran ceasefire will last, lifting oil prices.
Bank of England Governor Andrew Bailey warned the Iran conflict could trigger broader financial stress through the loosely regulated private credit market, combined with another inflation hit.
The euro is also holding steady against the pound, with both currencies facing pressure from rising imported energy costs.
Meanwhile, German industrial production fell unexpectedly in February, highlighting the fragility of the eurozone’s largest economy even before the recent geopolitical escalation and adding to concerns over growth and inflation across the region.