why did britian , curracy not join the euro?

Answer 1

In the United States, all 50 states benefit from a single currency. However, although not all of the states have the same economy, capital and labor are free-flowing throughout the entire country ---- in other words, monetary policy changes tend to affect the entire nation in a similar manner.


In Europe, all of the countries are still separate nations, and labor and capital are not entirely free-flowing. There is a chance that monetary policy that would favor France may be unfavorable to Germany.

Britain decided that the inconvenience of having to change currencies for European business (and hell, a lot of the markets are in London anyway) was acceptable given that they can still make their own policy decisions.

Answer 2

The British people are generally not convinced of the benefits of giving up the pound. In fact, were not generally convinced about the growing and increasingly intrusive influence the EU has on us already, when EU laws can supersede our own. Joining the Euro is another step toward handing yet more power to Brussels which is a highly inefficient organisation in relation to fiscal matters - why on Earth would we trust our currency with them? Any future government that attempted to persuade us to join the Euro would find themselves banging their poor misguided heads on a very big brick wall.

Answer 3

On February 27th, 1992 the Treaty on European Union (thereafter Treaty) is signed in Maastricht and represents the beginning of the European Economic and Monetary Union (EMU) creation to be achieved through three stages.

On October 1997, British government, by means of his Chancellor of the Exchequer Mr Gordon Brown, using the Treaty opting-out clause, announces the intention of non-participating to the third stage, the one that would have led the twelve country members of the EU to adopt one European currency, the euro. Hence, UK maintains its own autonomy in the fields of monetary policy and exchange rate policy.
UK maintains its British pound as national currency unless a popular referendum, to be shortly held, will indicate the will of replacing the British pound for the euro.