Bank of America Global Research maintains a bearish bias on GBP over the medium-term.
"GBP's fall from grace has been swift. Stagflation is the current buzzword which seems to be hitting UK harder than most," BofA notes.
"What makes GBP particularly vulnerable is contagion impact spreading through UK markets. This limits scope for £ recovery...Our concerns about structural Brexit headwinds have crystallised. 2022 could put even greater focus and pressure on GBP," BofA adds.