This article looks at what the banks are predicting for the AUD to GBP exchange rate over the long term in 2022.
AUD to GBP: edging lower
Top banks in Australia and New Zealand have a more optimistic outlook for the Great British Pound Sterling (GBP) compared to the Aussie (AUD) - reflected in their AUD to GBP exchange rate forecasts in 2022. Generally, their outlook for the GBP is more positive compared to the AUD, which is why the AUDGBP edges slightly lower over time.
AUDGBP forecasts from bank majors 2022
Source: Multinational bank aggregate data
AUD to GBP Predictions in 2022
In the short term
While the banks have predicted for the AUD to GBP to edge lower in the long term, there are plenty of influences on both the Australian dollar and the British Pound that can influence the AUDGBP cross rate in the short term. These include:
- Central bank policies to raise interest rates encourages greater currency flows to the GBP compared to AUD
- Economic growth in the UK rises faster and for longer than Australia from higher vaccination rates and opening up of their economy
- China’s demand for Australian commodities disappoints, weighing on the Aussie
What do bank analysts think about the AUD GBP in the long term?
- ANZ expects higher inflation and Central Bank rate hikes will support the GBP and the AUDGBP exchange rate to end 2022 at 0.5100
- Westpac anticipates a greater focus on Central Bank policies, predicting the AUD to GBP to average around 0.5500 by the end of 2022
- NAB predicts the AUD to GBP forecast exchange rates for the end of next year to be 0.5200
The best time to exchange AUD to GBP
If you are travelling to England and need to buy British pounds, the best AUD to GBP exchange rate for you is when it is high. Alternatively, if you are selling Pounds currency either in cash or through a transfer, you want the rate to be as low as possible.
Whether you are buying or selling British Pounds, no one can tell you when this "right" time is, but you can track the rate for free.
You set the rate you would like and let us to the work. We will email you when the AUD gets within the range you would like to buy British Pounds.
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