The U.K. currency's weakness is set to continue, according to several market watchers, with many suggesting sterling could even reach parity with the U.S. dollar.
Sterling faced a tough time last week, even before a "flash crash" on Friday that sent the currency down almost 6 percent in Asian trade. It has since recovered from this trough, but remains at 31-year lows against the greenback.
"Sterling is trading at an 89-month low on a trade-weighted basis (down 14 percent since the June 23 vote)," said UBS equity strategists in a note on Monday. "UBS expects further weakness and targets for end-2017 are $1.20 for GPB/USD (currently $1.27) and 1.00 for EUR/GBP."