10 years since agreement to launch Euro

This week marks the 10-year anniversary of the agreement to launch the Euro currency, which has now been adopted by 15 countries and 320 million people.

UK customers can take advantage of the strength of the Euro relative to Sterling by opening a Cater Allen Private Bank Account in Euros. Cater Allen allows customers to hold currency accounts in Euros, Dollars or Sterling - with a minimum balance of just £5000, €10000 or $10000.

On 28 April 2008, one pound sterling bought €1.27 but on 29 April 2007 one pound would have purchased €1.46.

The appreciation of the Euro has meant that those with a currency holding in Euros have received a 14.9 per cent increase in the value of their deposits in Sterling terms over the past 12 months. In addition, Cater Allen account holders would also have earned interest on their deposits of up to 2.75 per cent. If account holders were to convert into Sterling, they would have realised significant gains.

Although currency volatility means that there is significant risk in holding money in other currencies, many economic commentators believe that the Euro is likely to strengthen further against Sterling.

This is due to market speculation that there are likely to be further interest rate cuts in the UK, while there are less likely to be cuts by the European Central Bank due to inflation worries.

Although past performance of currency is no guide to future performance, account holders can make the choice of which currency they prefer to hold their cash on the basis of convenience and which currency they perceive to be most attractive. Cater Allen customers can easily switch between the different currency options available.

Sally Watts, Marketing Director at Cater Allen, said: "Cater Allen is committed to offering international solutions and choice to its clients. Our multi-currency accounts are suitable not just for those working abroad, but for those who want the flexibility of holding their account in a specific currency.

"Moreover, Cater Allen clients benefit from the service that you would expect from a traditional private bank with dedicated account handlers. We believe in offering our customers the very best in service and choice."

Unlike most traditional private banks, Cater Allen offers more ‘inclusive' banking that requires a minimum cash deposit of just £5,000 (or €10,000), but offers access to the superior service associated with a private bank.