Britain’s currency fell on Tuesday to levels last regularly traded more than two years ago amid persistent uncertainty over Brexit and deepening economic concerns.

Sterling fell as much as 0.4 per cent to $1.246 on Tuesday. It marked the lowest point for the currency since April 2017, excluding a “flash fall” that took place this January. The pound also fell on Tuesday against the euro, leaving it at €1.1123.

Boris Johnson, the frontrunner in the battle to replace Theresa May as Conservative leader and prime minister, has said Britain should part with the EU on October 31 “come what may”. His hard-nosed approach has heightened concerns over the prospect of a potentially damaging no-deal Brexit. Jeremy Hunt, the other contender in the leadership fight, has also been forced to take a similar tack.