Roger Bootle on the euro

During our recent bout of British gloom, many of the usual suspects were crawling out of the woodwork to make again the case for joining the euro. Now, they say, the exchange rate is right and we should lock it in. Yet they also wanted us to join some while back, when the exchange rate was 30pc higher. The truth is they always want us to join the euro. They must be mad. The issue is not about the right rate, which is changing all the time, but about flexibility.

In the current crisis, we in the UK have two major things going for us: first, we are able to enjoy a competitive exchange rate; and second we are able to set our domestic monetary policy in pursuit of our own interests. Heaven help countries like Italy which have no such way out. We should thank our lucky stars that we have managed to escape the budding economic and political disaster across the channel.

Sums it up rather nicely I think….