LONDON, June 14 Reuters Sterling plunged on Tuesday to a 13month low versus the euro and fell below 1.20 for the first time since the start of the pandemic after Scotland39;s First Minister Nicola Sturgeon said she was set to share details on plans for a new independence referendum.
Sturgeon said she was nearly ready to give more details on how Scotland39;s devolved parliament could move ahead with a new independence referendum without the consent of the British government.
British Prime Minister Boris Johnson does not believe now is the time to be talking about another referendum on Scottish independence, his spokesman said.
Johnson and his Conservative Party, which is in opposition in Scotland, strongly oppose a referendum, saying the issue was settled in 2014 when Scots voted against independence by 55 to 45.
Versus the euro, the pound fell 1.2 to 86.81 pence, its lowest level against the single currency since May last year.
After rising against the dollar earlier in the day, the pound fell 1.1 to 1.1993, its lowest level since March 2020.
If I were to isolate the pound move lower down to one event, I39;d most probably say that the Scottish independence risk was the straw that broke the camel39;s back, said Simon Harvey, head of FX analysis at Monex Europe.
Sterling has weakened more than 11 against a robust dollar since the start of the year amid a grim outlook for the economy and political instability in Britain. Data on Tuesday showed the UK jobless rate…