The pound hit a five month low against the euro today after the Bank of England raised the prospect of a prolonged fall in the value of sterling against other currencies as a result of the credit crisis.
Yellow streak Brown and the Bank of England have done nothing more than talk down the pound for months. Some crazy idea of yellow streak Gordon's that it will help exports. What a load of crap. First of all we don't export much and secondly, what we do is composed of raw materials and energy bought with Dollars and Euros. Nevertheless, yellow streak Gordon struts the world proclaiming that he is the only person who can rescue society and that he is going to continue "investing". In what, exactly is he going to invest? In unemployment and Civil Service non-jobs and pensions, or MP's expenses? He certainly isn't investing in pensioners allowances. Zero interest on savings, pensions devalued by 30% and falling and now they are telling us to consume and not to save. All my life, governments have told me to save and invest in private pensions because the State Pension is inadequate. They were right in that anyway. The truth is that financially, this country is in as bad a state as it was in 1946. The only remedy, now as then, is years of austerity, high taxes, and lower standards of living. We won't like it, but unless we take the medicine we are all doomed.
Anyone that thinks the Euro would be a good idea needs their heads looked at, all these countries are tied into a currency that they have no control over, Spain, Italy, Greece and the rest of the Euro countries that rely on tourism to a great extent are really in a very bad way with the strength of the Euro. NO TO THE EURO!