The value of a pound of sterling, a Euro or a Pound Sterling, has gone up by more than 6 per cent in value against the euro over the past week.
The rise has come as the currency has lost a third of its value against other currencies over the course of the year.
The pound rose by almost 2 per cent against the US dollar, while the euro rose by 1 per cent.
It is a stark contrast to the fall in sterling’s value, which fell by just 1 per on Monday after falling by 6.3 per cent over the same period.
The Irish currency, however, is trading at a level that is just slightly higher than it was in July.
Its trade rate has risen from €.8 per pound to €1.85 per pound over the week, while its exchange rate has been down to around €1 to €0.50 per pound.
The drop in sterling comes after a fall in the value of the pound in June.
However, the move has made a difference in terms of the amount of money the UK is buying and selling with the pound, and that has boosted demand for the currency.
“This is a huge step for the UK economy, which is seeing a big boost from the Brexit vote,” said Tom Huddleston, senior currency analyst at Fidelity.
As a result, the pound has fallen about 3 per cent from its previous peak.
But, it is still up against the dollar, which has fallen 3.5 per cent since June, while sterling has risen 1.5 percent over the last month.
This compares with a fall of almost 1 per-cent in the euro and 1.2 per cent for the Japanese yen.
Inflation is also rising rapidly in the UK.
For example, the average UK inflation rate in the second quarter of this year was 2.3 percentage points higher than in the first quarter.
The fall in trading volume and a weaker euro means that UK consumers are paying more for the goods and services they buy in the EU.
Despite the fall, sterling remains at a value higher than that of the US, which recently hit a new high of $1.33 per pound, according to Bloomberg.
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