Setting up further clashes with the European Union and something for GBP trades to pay attention to, the United Kingdom's Prime Minister Boris Johnson's government will press ahead on Monday with legislation to scrap rules on post-Brexit trade with Northern Ireland.

The legislation, which would unilaterally replace parts of the post-Brexit deal that was agreed in 2020 by Britain and the EU, is due to be sent back to parliament's lower house for a so-called second reading.

The risk for GBP is that the European Commission has launched legal proceedings against Britain, potentially leading to a trade war. 

In general, GBP/USD is at risk of an offer from the highs of the hourly consolidation area near 1.2300.