SIR – Philip Bird implies (Letters, October 19) that because sterling is not in the Eurozone, it is able to find its own value in the money markets, the expectation being that in the current crisis with sterling costing less, it should encourage exports and help bridge the trade gap.
Alas, according to the Bank of England, it is not working, mainly because British exporters have increased their margins, nullifying any benefit that a devalued pound might bring.
The other side of the coin is that being a net importer of goods, an effective devaluation of the pound of nearly 30 per cent makes imports, including fuel and energy, much more expensive, making the trade deficit worse.
It begs the question: in what way has being outside the Eurozone benefited us in this economic crisis?
Stuart Baker, Markham Croft, Leeds
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