On Wednesday, Sterling fell to $1.183 per dollar, extending a decline over the past week with a 1.8 per cent drop.
The pound has fallen to its lowest level against the US dollar since 1985. An SOE country with a large external trade deficit requires funding via capital inflows. In a sudden stop of global capital flows - the currency adjusts to offset the lack of inflows. Can't fight this $GBP pic.twitter.com/6c4aWe7b5j— Viraj Patel (@VPatelFX) March 18, 2020
"Sterling has completed one of its steepest declines in memory by hitting its weakest level since 1985, excluding... the brief dive of the October 2016 flash crash," said Neil Wilson, Markets.com analyst.
Previously, the pound fell by 1.95 cents to $1.3005, losing 1.5 percent against the dollar in February.
Earlier, the chancellor of the Exchequer, Rishi Sunak, said that the UK government will allocate 330 billion pounds to support the national business amid the outbreak of the coronavirus disease.