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The pound in my pocket

2

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  • Malthusian
    Malthusian Posts: 11,055 Forumite
    Tenth Anniversary 10,000 Posts Name Dropper Photogenic
    coyrls wrote: »
    [FONT=&quot]Well it's not an option is it? EU membership would be a prerequisite.[/FONT]

    Of course it's an option. Plenty of countries use another country's currency as their official currency. You don't need that country's permission. For example the US dollar is the currency of Ecuador, Panama and Zimbabwe.

    All the UK government would have to do is announce that from a given date the official currency of the UK is the Euro, that it will only accept payment of taxes in Euros, and all government salaries and state benefits will be paid in Euros. None of this would require permission from the EU. The rest of the country would inevitably follow suit. You would get a few stalwarts still trading in sterling but it would become like Bitcoins or the Bristol Pound.

    It would be a bloody stupid option but it would still be an option.
  • Jibeddy
    Jibeddy Posts: 86 Forumite
    Fifth Anniversary 10 Posts
    Malthusian wrote: »
    Of course it's an option. Plenty of countries use another country's currency as their official currency. You don't need that country's permission. For example the US dollar is the currency of Ecuador, Panama and Zimbabwe.

    All the UK government would have to do is announce that from a given date the official currency of the UK is the Euro, that it will only accept payment of taxes in Euros, and all government salaries and state benefits will be paid in Euros. None of this would require permission from the EU. The rest of the country would inevitably follow suit. You would get a few stalwarts still trading in sterling but it would become like Bitcoins or the Bristol Pound.

    It would be a bloody stupid option but it would still be an option.

    Just to add to this, a number of non-EU countries already use the Euro namely Montenegro, Kosovo and a few of the 'micro-nations' of Europe.
  • Rollinghome
    Rollinghome Posts: 2,809 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    bigfreddiel wrote: »
    He was right wasn't he? The pound in your pocket is still worth a pound.

    It was true in 1967, so surely it's true now?
    No, it wasn't true in 1967 and isn't true now. The years following 1967 brought inflation of up to 24% as a result.

    A pound is still worth 100 pennies, just as it was still worth 240 pennies then, but those pennies won't buy as much as they previously did, as you'll find when you step off the ferry.

    Similarly those big increases in the value of our investments that have been great fun are only increases in local terms and won't benefit us much if we want to blow the money on champers, a foreign holiday or a foreign car.

    But don't fret, stick to a week in Bognor next year and you'll hardly notice.
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Rollinghome wrote: »

    But don't fret, stick to a week in Bognor next year and you'll hardly notice.

    The price of those imported toy Spanish donkeys will be noticeable though. Have to go home with a stick of rock instead.
  • bigfreddiel
    bigfreddiel Posts: 4,263 Forumite
    Rollinghome wrote: »
    No, it wasn't true in 1967 and isn't true now. The years following 1967 brought inflation of up to 24% as a result.

    A pound is still worth 100 pennies, just as it was still worth 240 pennies then, but those pennies won't buy as much as they previously did, as you'll find when you step off the ferry.

    Similarly those big increases in the value of our investments that have been great fun are only increases in local terms and won't benefit us much if we want to blow the money on champers, a foreign holiday or a foreign car.

    But don't fret, stick to a week in Bognor next year and you'll hardly notice.

    It must have been true, Harold said so! Surely he wasn't telling porkies! :rotfl:
  • bigfreddiel
    bigfreddiel Posts: 4,263 Forumite
    I guess we were all just as stupid then as we are now to believe anything anyone says, especially a politician

    fj
  • missile
    missile Posts: 11,879 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    edited 12 October 2016 at 5:13AM
    bigfreddiel wrote: »
    In 1967....

    "It does not mean that the pound here in Britain, in your pocket or purse or in your bank, has been devalued."

    Prime Minister Harold Wilson

    He was right wasn't he? The pound in your pocket is still worth a pound.

    It was true in 1967, so surely it's true now?

    I remember the headlines well, and life just went on as usual. Harold must have believed it or else he wouldn't have said it.

    True back in '67 and true now. All these fluctuations will be but a tiny little blip when you look back in years to come.


    Cheers fj
    Harold Wilson sold us a huge porky in '67. I would have hoped those on here might understand politicians (of whatever colour) spin the facts to suit their own agenda.
    I fear things may get a lot worse.
    http://www.msn.com/en-gb/money/news/how-crashing-pound-will-hit-your-pocket-millions-of-households-warned-to-brace-for-price-rises/ar-BBxj1vP?ocid=spartandhp
    "A nation's greatness is measured by how it treats its weakest members." ~ Mahatma Gandhi
    Ride hard or stay home :iloveyou:
  • lesta1980
    lesta1980 Posts: 163 Forumite
    Part of the Furniture 100 Posts Combo Breaker I've been Money Tipped!
    missile wrote: »
    I can understand why the suits in the square mile don't want the euro but would it bad for the rest of us? I have seen the value of the £ in my pocket plummet against the € .... and not just since Brexit.

    Just had a serious case of deja vu until I remembered reading this on Britishexpats as well :beer:
  • missile
    missile Posts: 11,879 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    edited 12 October 2016 at 10:02AM
    Are you stalking me? <LOL>
    I find it interesting to compare the differing views / opinions on this issue from both forums.
    "A nation's greatness is measured by how it treats its weakest members." ~ Mahatma Gandhi
    Ride hard or stay home :iloveyou:
  • Linton
    Linton Posts: 18,496 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Hung up my suit!
    Rollinghome wrote: »
    No, it wasn't true in 1967 and isn't true now. The years following 1967 brought inflation of up to 24% as a result.

    ....

    Inflation didnt reach 24% until 8 years later in 1975. Blaming this on a 14% devaluation in 1967 seems a little far-fetched. A far greater cause was surely economic mismanagement in the subsequent years.
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