The pound is heading for a 13-year high against the euro in a boost to British holidaymakers travelling to the Continent . The pound is heading for a 13-year high against the euro in a boost to British holidaymakers travelling to the Continent . Sterling soared above 1.39 euros yesterday – its strongest position since late 2007 and up from around 1.27 in January and 1.20 a year ago . Experts said the pound could rise to 1.55 euros in the coming months – the highest level since late 2002 – in a shot in the arm for British families travelling to Europe . ‘ All of a sudden a price of 1.55 doesn ’ t seem too far away , ’ said Harry Adams , managing director of currency specialists Argentex . A family changing £500 would now get 79 more euros than they did a year ago and 109 more euros than two years ago . Figures from currency exchange firm Travelex show £500 would now buy 674 euros compared with 595 euros in March 2014 and 565 euros in March 2013 . Tracy Bownes , retail director at travel money specialist Moneycorp , said : ‘ British cash is going further in the eurozone than it has in almost a decade . Now is a great time for Brits to be travelling in the eurozone. ’ It is feared , however , that the strong pound will damage exports by making British-made goods more expensive for foreigners to buy . The pound has been driven higher by the rosy outlook for the British economy as it bounces back from the Great Recession . The UK was the fastest growing economy in the G7 last year – leaving the United States , Canada , Japan , Germany , France and Italy in its wake . At the same time , the euro has been hammered as the threat of stagnation and deflation hang over the single currency bloc . Experts said the pound could rise to 1.55 euros in the coming months – a boost for British families travelling to Europe . Lee McDarby , an executive director at banking group Nomura International , said : ‘ The euro is falling like a hot knife through butter against the pound. ’ The European Central Bank will next week start pumping billions of euros of emergency funds into the ailing economy in a desperate effort to stimulate growth . The Frankfurt-based institution will print £43.5billion of new money a month until September 2016 or possibly later – totalling at least £825billion . The prospect of a flood of euros being created through so-called quantitative easing has lowered the value of the single currency . The euro sank below $ 1.09 against the US dollar yesterday – its lowest level for nearly 12 years . Kathleen Brooks , research director at currency firm Forex.com , said the euro could soon reach ‘ parity ’ with the dollar – meaning one euro buys just one dollar . ‘ The downtrend is strong and broad-based , ’ she said . ‘ It would be a braver trader than I to stand in its way . It will take a big effort to change sentiment towards the euro at this stage . ’
Sterling soared above 1.39 euros yesterday - strongest position since 2007 . Experts said the pound could rise to 1.55 euros in the coming months . News will be welcomed by British families travelling to Europe for holidays .