A key member of the Bank of England is unlikely to vote for a November interest rate cut.
France's political problems risk exacerbating the UK's fragile financial standing.
A potential pound selloff next year is a key concern for investors, according to Berenberg Bank economist Andrew Wishart.
Marc Cogliatti, Global Capital Markets Director at Validus Risk Management, has urged clients to tread carefully on sterling, warning that political and fiscal uncertainty continue to cloud the outlook.