Going to Europe for a cheap holiday used to be a bit of a no-brainer.
You went up to the bureau de change with a small wad of notes and came back with a bundle of euros thanks to favourable exchange rates.Police reward to find woman who beat and strangled pensioner with own dog lead
But you now may be in for a shock when you switch your pounds into euros next year.
Since the UK voted to turn its back on the European Union the pound has tumbled from 1.31 euro the day before the June 23 election to 1.09 euros today.
This has meant Brits holidaying in the likes of sunny Spain and Italy have had their spending power obliterated, resulting in more people picking ‘staycations’ in Britain, despite the summer of showers.
Worse still, leading US investment bank Morgan Stanley said the two currencies would reach parity in the first quarter of 2018 meaning, once commission is added, you will be worse off after the exchange.
It would be the first time in its 18-year history the euro has reached parity with sterling.Over 200 marauding vikings crash couple's wedding day
Issuing a statement the bank described Britain’s economic prospects as ‘bleak’ with government ministers unable to provide clarity on their vision for life outside the bloc.
It pointed to Michael Gove, Boris Johnson, Philip Hammond, Liam Fox, Chris Grayling and Prime Minister Theresa May giving contradictory statements about Conservative plans for Britain’s divorce.
In a statement the bank said: ‘The UK economic outlook looks bleak, with stretched household balance sheets, Brexit negotiation uncertainty potentially weighing on business investment, and net exports growth staying subdued despite a weak pound.
‘On the politics front, risks have also increased, with the Conservative Party showing split opinions on the UK’s Brexit position, revealing inner party tensions.’