British pound slides against naira and US dollar as UK political turmoil deepens
By Aboki Forex —
The British pound weakened against major currencies including the naira and the US dollar on Monday, June 22, 2026. The decline was driven by fresh political uncertainty in the United Kingdom and a stronger US dollar.
Sterling fell close to its weakest level of the year against the greenback, dropping as much as 0.4% to around $1.3181 in early trading. The currency also lost ground against the naira.
The selloff followed the resignation of UK Prime Minister Keir Starmer. He reportedly faced growing internal pressure within the Labour Party after a surprise by-election result in Greater Manchester boosted the influence of rival Labour figure Andy Burnham.
Market analysts say the leadership crisis has raised concerns about the UK's political direction. Investors are also worried about the country's fiscal outlook, given high public debt levels and sluggish economic growth. Bond markets reflect fears about future government borrowing plans.
Sterling's weakness was worsened by a resilient US dollar. The dollar index stayed above the 101 mark after hitting a 13-month peak. Traders expect the US Federal Reserve to keep interest rates higher for longer than previously expected.
In Nigeria, the naira traded at about N1,806 to the pound, according to Central Bank of Nigeria data. The rate reflects sterling's global weakness and ongoing domestic foreign exchange dynamics. The naira has benefited from CBN reforms and efforts to stabilise the foreign exchange market.