The British pound has reached its highest level against the euro in over a year, prompting experts to advise holidaymakers to lock in the favourable exchange rate before it potentially declines. As of 11am on Tuesday, July 7, 2026, £1 converted to 1.1708 EUR, up from 1.1614 EUR just one week earlier on Tuesday, June 30, according to currency conversion platform Wise.
Expert Advice: Exchange Now to Avoid Risk
Simon Phillips, Managing Director of No1 Currency, commented on the latest conversion rate: “The outlook for anyone heading to Europe for some summer keeps getting brighter. The Pound has been ticking steadily upwards against the Euro in July, and today it hit its highest level against the single currency in more than a year.”
However, he warned that exchange rates “never stay still, and while things have become less volatile since America's war with Iran ended, now might be a good time to lock in the current favourable exchange rate.” Phillips advised: “If you’ve booked a trip to a European destination but aren’t travelling for a few weeks, try exchanging some Pounds for Euros now. That way you'll protect yourself against the danger of sterling weakening between now and your travel date.”
Shop Around for Best Rates
Phillips noted that the rates offered by travel money providers can vary greatly, and recommended shopping around for the best deal and not waiting until you get to the airport. He added: “Many people put their foreign travel plans on pause when conflict broke out in the Gulf earlier this year. Now summer is here, traveller confidence is back and airlines and holiday companies are trimming their prices in an effort to grab market share.”
“If you’re one of the thousands of people still looking for a last-minute summer bargain, remember that exchange rates can matter as much as your plane ticket. When sterling rises against the Euro, UK visitors to the Eurozone get more bang for their buck - and this allows them to treat themselves to better accommodation or even tack on a few extra days to their trip while still sticking to their budget.”
Impact on UK Businesses
Erik Magnusson, Director of Corporate Strategy & Delivery at foreign exchange and currency risk management service provider Lumon Pay, said the rise is “genuinely good news” for British holidaymakers and signals “a good time to buy your holiday currency.” However, he added that “for UK businesses trading with Europe, the picture is more nuanced. A stronger pound makes exports pricier for European buyers, hurting competitiveness, while importers benefit from lower costs. Either way, large and quick moves like the one we've seen lately, shows the importance of staying on top of your currency strategy even when rates are more subdued. You never know when that move is coming. Failing to prepare is preparing to fail.”
