London tourists relish pound slump as residents worry

STORY: Theresa Ngai, who was visiting from Taiwan, said it was a good opportunity for tourists wanting more value for their money, while American tourist Heather Davidson hinted she was open to spending more while on her trip in London now.

David Appleby, a tourist from Sydney, said he expects more Australians would consider visiting the UK with the better exchange rates for the Australian dollar. "That's a big difference when you get more bang for your buck that makes people want to travel,'' Appleby said.

But while tourists rejoiced, local residents like Jason Emery were bracing for a recession.

"I think it's obvious that there's some sort of recession coming right, if it's not already here and we'll just have to work through it I think... It depends on how long it lasts. You know, I think if we can get through Christmas and Q1, it might be alright. Who knows?"

Britain's pound plunged following plans laid out by the country's new prime minister Liz Truss and finance minister Kwasi Kwarteng to slash taxes and ramp up spending to cushion soaring energy prices, with few details on how the government would fund them.

Retired trade union official, Mick McTiernan, was critical of the new administration's direction.

"It's robbing from the poorest in society and just giving the money to the richest. It's complete nonsense. And looking at the way the pound has been going today it's going to end up in a complete catastrophe," McTiernan said, adding "I suspect the impact is going to be fairly disastrous."