UK's Sunak: Budget deficit will be significant by historic standards

British finance minister Rishi Sunak noted on Tuesday that the UK's budget deficit will be significant by historic standards and said the biggest uncertainty is how much tax revenue will drop.

Additional takeaways

"The big fiscal question for the medium-term is how big a structural budget deficit will be after the crisis."

"It's not obvious there will be an immediate bounce back after COVID."

"The UK has been very clear it has no intention of extending the Brexit transition period."

Market reaction

The GBP/USD pair ignored these comments and was last seen up 0.55% on a daily basis at 1.2255.