The pound is at a near three-and-a-half year high against the euro, as the fallout from elections in Greece and France sends the region into fresh turmoil.
On Tuesday afternoon the pound was trading for around 1.20 euros, its strongest rate against the currency since the financial crisis hit in 2008.
But don't head down to the foreign exchange bureau just yet.
Richard Driver of Caxton FX told BBC news the sterling should continue to rise: "We've seen sterling climb this year as the European debt crisis has come to a head."
"Sterling has a pretty decent safe-haven status - we think it will reach 1 euro 30 by this autumn."
The development comes amid fears Greece may be forced out of the euro following elections in the country which rejected austerity plans, and the victory of socialist candidate Francois Hollande in France.
On Monday Spainish prime minister Marian Rajoy indicated they could bailout struggling banks.