Brexit: Positions on the Pound - Statement

Part of the debate – in the House of Lords at 5:41 pm on 30th September 2019.

Alert me about debates like this

Photo of Lord Callanan Lord Callanan Minister of State (Department for Exiting the European Union) 5:41 pm, 30th September 2019

My Lords, with the leave of the House I will now repeat in the form of a Statement the Answer given in the other place earlier today by my honourable friend the Exchequer Secretary to the Treasury.

“It is not appropriate for the Government to comment on specific currency market movements, nor on market positioning. We accept the market-based price of sterling and do not have a view on what level this should be. If the Government were to speculate on the value of sterling, it could hurt confidence in our macroeconomic framework. However, as the price of sterling fluctuates in the normal way, Her Majesty’s Treasury believes that investors should be entitled to hedge, including by short-selling. The foreign exchange market is a global market and it is essential that we work with other jurisdictions to ensure a consistent international approach to the oversight of these markets. That is why the UK has supported the work of the Bank for International Settlements to create a single global foreign exchange code and work is ongoing to ensure that it embeds common standards of good practice in this area. The United Kingdom will leave the European Union on 31 October, whatever the circumstances. We must respect the referendum result. We would prefer to leave with a deal and we will work in an energetic and determined way to get a better deal done”.