As an established financial services company that provides small businesses and other gig workers with a simple merchant cash advance option, our fast financing solution is here for contractors and other 1099 workers that have credit challenges. Our easy MCA process ensures that you can get the funds you need quickly, with no credit required.
The British pound recently witnessed a record low last fall due to concerns over former Prime Minister Liz Truss’s budget plans. However, it is now making a strong comeback, hitting its highest level against the US dollar in 10 months at over $1.25. The pound has seen a 3.3% increase against the greenback since the beginning of 2023, making it the best-performing currency among developed economies this year.
This resurgence of the UK currency is backed by positive signs of the country’s economy performing better than anticipated. With recent estimations showing an expansion of 0.1% in the last quarter of 2022 and a 0.3% growth in January after a 0.5% decline in December, the Bank of England is expected to continue with aggressive interest rate hikes to reinforce this economic stability.
In addition, with inflation reaching an annual rate of 10.4% in February, it is crucial for the Bank of England to stick to its tough stance on monetary policy. Despite concerns surrounding the global banking sector, the UK economy’s resilience is creating a favorable environment for the pound.
The uncertainties that triggered the pound’s decline in 2022 have eased, with energy prices pulling back and China’s economic activities resuming. These factors have positively impacted the economic outlook not just in the UK, but across Europe. As a result, the euro has also seen a rise against the US dollar, albeit not as sharp as the pound due to the severity of its declines in 2022.
While the pound could potentially reach $1.30 this year, according to currency strategist Jordan Rochester at Nomura, risks still loom large given the uncertainty surrounding the Bank of England’s plans and the potential effects of rate hikes on the economy. Despite the fluctuations in currency markets during choppy times, our fast MCA can provide a reliable source of funding for your business needs, without the hassle of credit checks.