The best GBP to euro exchange rate today - Times Money Mentor (2024)

Planning your next trip abroad, tracking your UK pension or investments while living in Europe, or arranging an overseas property purchase; there are lots of reasons why you might want to keep an eye on the euro to pound (GBP) exchange rate.

Many things can affect the exchange rate – the amount of euros you’ll get for your pounds – from interest rates to political events.

Below we explore:

• What is the GBP to euro exchange rate?
• What impacts the GBP to euro exchange rate?
• Why might you need to monitor the GBP to euro exchange rate?
• Where can you find the best exchange rate?

Read more: The best travel money providers

What is the GBP to euro exchange rate?

The GBP to euro exchange rate is the difference in value between euros and pounds. The exchange rate is a figure and it will show you how much money you will receive when buying or selling currency.

The euro is the official currency of 20 of the 27 European Union member countries. You’ll need to exchange British pounds into euros if you’re visiting the EU and want to use cash.

Over the last 12 months, the pound has slowly begun to rise in strength against the euro, from a low of 1.11 euros to £1 in April 2023 to its rate today of 1.17.

If you were to change £100 right now to euros, you’d receive €117 back, according to the Times Money Mentor currency partner Xe. This is based on one euro being worth 85p.

For the the real time exchange rate, make sure to use this tool from our preferred partners Xe.

Read more: What is an exchange rate and how are currencies calculated?

What impacts the GBP to euro exchange rate?

Exchange rates aren’t fixed and there are lots of external factors that can make them go up and down. They also don’t have a start or end time, unlike with the stock market, so the rate can continually change, as we explain in our guide to how currencies are calculated.

Currencies are often described as being strong or weak, and this usually relates directly to how well a country is performing when compared to other countries.

Two significant events affecting the GBP to euro rate over the past few years were political. In 2022, for example, the pound slumped to a 37-year low against the euro after the mini budget from Liz Truss and Kwasi Kwarteng. It also suffered a massive downfall after the Brexit decision was announced, falling to a 30-year low.

While these were important events which had a significant impact on the UK economy, the following are all worth considering when trying to predict when the best euro conversion rate will be:

• Interest rates: The Bank of England (BoE) sets the base rate to keep control of inflation, and a strong interest rate will be attractive to foreign investors and could strengthen the pound
• Inflation: High inflation can weaken a currency, as it pushes up prices and lowers buying power within a country
• Economic data: Predictions concerning the economy, including how it might rise (or fall) can have an impact on exchange rates because countries with positive economic outlooks tend to have stronger currencies
• Supply and demand: Exchange rates are largely based on supply and demand, so if there is a surge of people travelling to Europe, for example, this is likely to push up the strength of the euro

Why might you need to monitor the GBP to euro exchange rate?

Rates constantly change and you can see them in real time, via a currency website such as Xe. While it’s impossible to predict what might happen in the future, you can look back at past rates to estimate when your best euro currency rate might be. Here are a few reasons why you might need to keep an eye on exchange rates:

• Summer holiday: If you’re off on holiday to an EU country, you might take cash or use a travel card (or a combination of the two). If you are taking cash you can either exchange it before you go or withdraw it from an ATM when you arrive. There are big differences between costs when it comes to providers, and the amount of euros you get for your pounds will vary depending on where you exchange your money. We reviewed the cheapest travel money providers in our guide
• Property purchase: Big investments, such as a foreign property purchase, will take months of planning. As you’re spending such a large amount of money, you’ll also want to get the best rate possible for your pounds. You may need to make an international money transfer and using a specialist foreign exchange company is usually the cheapest option when compared to UK banks
• Pension rates: For anyone living in the EU and receiving a UK pension, the GBP to euro exchange rate will affect the amount of money you receive. If your pension is paid in pounds and the pound weakens, this could mean you have less money when it is transferred to euros, but if it recovers you could see a boost to your pension balance
• Sending money abroad: If you need to send money to someone in the EU, the exchange rate will affect how much your pounds are worth when you change them into euros
• EU investments: If you have investments in EU firms, which could be through a pension, a change to the GBP to euro exchange rate could affect them. If the euro rises, this could boost your investment returns but if it falls, your returns could go down. However, with any type of investments, it is normal for the value to go up and down, and most should continue to grow over time

Read more: The best travel debit and credit cards to use abroad

Where can you find the best exchange rate?

When trying to find the best euro conversion rate for your pounds, you’ll also need to look at the following:

• Any extra fees being added on by the foreign exchange company
• Cost of delivery or postage of currency
• The cost of selling back your money (if you don’t use it all)

The company you use to transfer your currency can make a big difference to the final amount. We review some of the best foreign exchange companies in our article on the best travel money providers.

How far in advance should you exchange GBP to euros?

Unfortunately it’s impossible to say when is the best time to exchange GBP to euros, as no one knows what the future holds.

But what you can do is keep an eye on exchange rates. It’s possible to look back by day, week, month or years at how rates have performed and this can give you an indication of what might happen next.

There are also expert predictions available from currency exchange specialists, which you can find in most national newspapers along with specialist publications, which can give you an idea of the top euro exchange rates.

It’s also crucial to shop around when choosing a foreign exchange currency company or a money transfer service to make sure you’re getting the best best euro currency rate possible and you’re not wasting money in fees.

Read more: What is the difference between an IBAN, SWIFT code, and ABA?

How do exchange rates work?

Exchange rates are simply the amount of money one currency is worth when compared to another. The rate shows you how much money you will get for your currency when exchanging it. If the GBP to euro exchange rate was 150, for example, for every £100 you transferred you would get 150 euros back.