Following Wednesday's voting, Penny Mordaunt has been knocked out of the Conservative leadership contest, leaving Rishi Sunak and Liz Truss to face each other in the run-off to replace Boris Johnson.

The winner of the final round is expected to be announced on Monday, September 5, following a postal ballot completed by 160,000 Tory party members.

Market reaction

This development doesn't seem to be having an impact on the British pound's valuation. As of writing, GBP/USD was trading flat on the day at 1.1995.