Sterling fell in European trade for another session against dollar off week highs as Covid 19 infections surge in the UK, with the government considering another lockdown.
GBP/USD fell 0.6% to 1.285, after closing down 0.5% on Friday, the first loss in five days on profit-taking off week highs at 1.3007.
The pound rose 0.9% last week, the first weekly profit in three as the greenback posted losses against an array of rivals.
UK Covid infections rallied to 6000 cases a day, with hospital admissions doubling every eight days.
UK PM Boris Johnson is therefore considering another lockdown, in turn threatening any economic recovery that might be taking place.
Bank of England said he's considering the use of negative interest rates to prop up the collapsing economy.