Letter: Devaluation is not the answer
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.Sir: Norman Lamont is right. Devaluation of sterling within the exchange rate mechanism would only bring higher inflation, without the benefit of any reduction in interest rates. It is not an unrealistic exchange rate that is holding back recovery in the British economy but the high interest rates that the Bundesbank - in pursuit of purely domestic objectives - is forcing on the rest of Europe.
Surely this experience must change the Government's attitude towards closer monetary union with our EC partners, most of whom are likewise becoming weary of continued subservience to German interest-rate policies. A monetary union - including a European central bank - would ensure that monetary policy across Europe is no longer dictated solely by the objectives of just the one dominant partner.
Yours faithfully,
NIGEL WILKINS
London, SW7
14 July
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments