The euro today hit its highest exchange rate with sterling in over a year, and at one stage in trading was valued at over 77p.

At 3.18pm Irish time €1 was valued at £0.7710. The last time the currency was this strong against the British pound was in the middle of January 2015.

The euro has since fallen back slightly, but is still hovering around 77p.

A stronger euro gives people earning in - and using - the currency more spending power abroad.

However, it can have a negative impact on sectors such as tourism and exports, with Irish products becoming more expensive to customers in countries outside the euro zone.

Therefore, tourists coming to Ireland from the UK will find it a little more expensive. 

The value of sterling has declined by nearly 4% on international markets since the start of the year.

It has been losing ground against the euro for the last two months, which is its longest downward streak since the euro was introduced in 1999.

The decline is attributed to a number of factors, including weak economic data (UK industrial output in November saw its worst decline in over two years) that questions the future performance of the British economy.

Investors are also reported to be concerned over the outcome of the referendum on the UK's membership of the European Union.

Sterling also lost against the dollar today, hitting a seven-year low of $1.4207 after comments from Bank of England Governor Mark Carney that adjustment in China was not over and would subdue global growth and inflation for some time.

Mr Carney, who earlier said he had no set timetable for when the BoE would raise interest rates and that inflation, which was flat for 2015, would need to move "notably" towards the bank's 2% target.