Interest rate cut 'affecting French investment opportunities'

Those considering purchasing property in France are likely to find doing so much more costly due to the current weak pound, it has been claimed.

Gary Field of foreign exchange firm RationalFX explained that the recent cut in UK interest rates to two per cent will have an impact on the exchange rate, making properties in France more expensive to purchase than they were at the start of the year.

He noted that investors purchasing property in the Normandy and Brittany regions of northern France - areas that are a "hotbed for Brits looking to buy abroad" - may have their outlook changed by the recent devaluation of the pound, adding that those who have already paid a deposit on a property in the region may "change their outlook" as a result and wait before making a purchase.

Those planning on investing in French property may wish to switch their attentions to Nice, where, according themovechannel.com, high demand for property has caused values to rise nearly ten per cent over the last month.