The British pound maintained its position above $1.37 on Monday, following a breakthrough last week, as official data confirmed robust growth in the UK economy during the first quarter of 2025.
At 07:53 GMT, the FTSE 100 index slipped 0.1%, while the pound edged down slightly by 0.07% against the dollar but remained above the $1.37 mark. Meanwhile, Germany’s DAX index gained 0.2%, and France’s CAC 40 fell marginally by 0.05%.
UK Economy Shows Resilience in Q1
Final GDP figures released Monday by the Office for National Statistics revealed that the UK economy expanded by 0.7% quarter-on-quarter in Q1 2025, representing a 1.3% increase year-on-year. Despite the positive momentum, some challenges remain on the horizon.
US-UK Trade Deal Comes Into Effect
The UK government confirmed the activation of a new trade agreement with the United States, aimed at reducing tariffs on British imports. Signed by US President Donald Trump and UK Prime Minister Keir Starmer, this deal signifies a major milestone in transatlantic trade relations.
Regulatory Update: Simplifying Investment Rules
Britain’s financial regulator announced plans to streamline rules for investment firms offering pension and investment services, a move welcomed by the industry that had criticized existing regulations for being overly stringent.
Wood Group Faces Regulatory Probe
In other corporate news, oilfield services company Wood Group disclosed on Friday that it is under investigation by the UK financial watchdog. This follows last year’s announcement of an independent accounting review concerning specific contracts and charges.
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