Pound hits three-year high against the dollar as vaccine rollout raises hopes of lockdown easing

THE pound has hit a three-year high against the dollar today as the vaccine rollout raises hopes of lockdown easing.

It comes as Britain smashed its vaccine target over the weekend, with 15million Brits now having received the first jab.

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This is enough to cover everyone in the top four most vulnerable categories, which is key to easing lockdown and reopening schools.

Prime Minister Boris Johnson is also set to share his plans for exiting England’s lockdown next Monday, on February 22.

The news has boosted financial markets, and the value of sterling climbed above $1.39 this morning – a level last seen in April 2018.

The pound also hit a nine-month high against the euro at €1.147.

At the time of writing, the value of sterling is currently sitting at just below $1.39, up by 0.32%, and at €1.146, up by 0.26%.

The FTSE 100, which tracks the performance of the UK’s biggest companies, has also climbed during the day and is currently up by 2.10%.

Chris Turner, global head of markets at ING, told Reuters: “[The pound] continues to reap the dividends of a successful vaccine rollout.

“And momentum is building towards a reopening of the economy – probably starting with schools on 8 March.”

Speaking during a visit to a vaccine centre in London today, Mr Johnson said there is need for “progress that is cautious but irreversible” ahead of his decision about when to lift lockdown.

The pound last strengthened in value against the dollar and the euro on January 31 as the UK prepared to leave the European Union.

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