LONDON: Britain's pound sterling was sharply up against the euro and the dollar on Thursday, temporarily gaining more than one percent against both currencies on optimism over a Brexit deal.

Around 2:15pm (1315 GMT), the pound was up 0.85 percent to 1.2233 dollars, and up 0.84 percent against the euro at 90.63 pence for one euro, having earlier reached three-week highs.