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Could Britain Make A Radical Change And Switch To The Euro?

by Can Tran | November 30, 2008 at 02:36 pm

524 views | 3 Recommendations | 5 comments

The possibility is in the air that Britain could abandon the GBP (Great Britain Pound) and switch to the Euro, the currency adopted by Ireland and most of Western Europe (with the exclusion of Denmark, Sweden, Switzerland and Norway). However, there is much opposition in Britain about this possibility.

But, it does not necessarily mean that the possibility will get shot down immediately.

PARIS (AFP) – The international financial crisis has set off a radical change in thinking in Britain about the euro, EU commission chief Jose Manuel Barroso said Sunday.

While acknowledging the majority opposition in Britain to embracing the euro, Barroso told French radio: "We are now closer than ever before."

He added: "I'm not going to break the confidentiality of certain conversations, but some British politicians have already told me: 'If we had the euro, we would have been better off'."

This possibility could foreshadow a possible international economic challenge for United States President-elect Barack Obama, who is set to take office of the United States President on January 20, 2009.

Regardless, it is still a bit early to speculate on whether Britain will adopt the Euro in the future or not.

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Glenda Archer (not verified)

at 00:27 on December 1st, 2008

I do not welcome the loss of the GBP... just another slice of our history being lost... BUT I think we would be better off with the euro for two reasons:

1. Companies in the UK owned by Europeans would be more competetive with their homeland based companies. This would protect UK jobs.

2. We would perhaps not have as many eastern european immigrants coming here to find work as the financial gains would not be so great... again protecting UK jobs.

The only people who would suffer are those who own holiday homes abroad, those who have retired abroad and those who vacation abroad every year. This would be bad for them but NOT BAD for the UK. I am Canadian /English. I am currently living in England because I love it!!! It is very sad that I have explored every county in England whereas most English people have not. In these tough economic times holiday money should be spent here at home.

SOLARLIFE

at 01:45 on December 1st, 2008

The british pound is to weak to resist a next speculator's attack. To join the Euro is easy now for the UK. The pound's value has gone by bailouts; investment banks seize activites. But don't forget the Euro comes with the Stability criteria, no more credit than 3% of GDP.

Do the Europeans want a weak pound to get into the Euro? For sure Gordon Brown must give up his idea to "rob" the ECB european central bank with his time-to-time friend Sarkozy. Both countries Britain and France have to restructure their economy instead. That's how the Euro works. Good Article, interesting UK comment