How would a euro collapse hit us in the pocket?

We ask the experts what would happen if the single currency fell apart.

Votes against austerity packages in France and Greece last week renewed speculation that the euro may soon collapse. How might this latest development in the financial crisis affect holidaymakers, home buyers, workers, savers and investors in Britain? We asked the experts.

Kallias: Ian Cowie, you seem to suffer from the same problems in maths as Gordon Brown!  "Between 2007 and 2008, the euro appreciated over 40pc against the pound…" http://uk.finance.yahoo.com/echarts?s=EURGBP%3DX#symbol=;range=20070103,20080101;compare=;indicator=volume;charttype=area;crosshair=on;ohlcvalues=0;logscale=off;source=undefined; 2007/8 Low of 0.65 high of 0.74 Euro to GBP. How does that make 40%? However you jiggle your figures between 2007 and today, 24% is about the worst of it.

fry10d: I notice that experts have been asked for their opinion. I do wish that they would ask people who actually know something.

pyxu619: I love the british! You guys place bets on everything :D

magnificent mozart: Is it any wonder there have been so many wars between European nations. Must we fight again to regain freedom? 

ecneps: Greece is a basket case and should never have been allowed to join the Euro

wilson: And knowing this, Brussels still went ahead and let Greece join. The political aim - the next step to closer political union - triumphed over economic good sense. But that demonstrates the single-mindedness of the Brussels elite - to accelerate a united Europe at whatever cost.

grahamall: I quite agree.  The Euro was a step too far, it was doomed from the start IMO. The economies of the member states are too diverse to create a workable match (ie Germany and Greece) and the cultural identities are also too diverse for any move towards a federal Europe. Look at our history compared to that of Greece, totally different.I don't disagree with the EU in principle but monetary and political union, nah, not a hope in hell.

wilson: Quite right, but how many thousands of millions (or milliards) of euros will Brussels and the ECB spend on trying to prove that monetary and political union is possible? Indeed, is eminently desirable? It is bad enough that that economic basket-case Croatia will join the EU next year and that other aspirants are also lining up for EU cash and membership.

girlregionlondon8sector94:  Yes, and Macedonia, Montenegro and Serbia are official candidates and Turkey is still negotiating. What's even worse is that Turkish citizens have been granted the same residency and labour rights in Europe as existing EU citizens, and there are detailed plans to extend the same rights to Algeria, Morocco, Tunisia and Israel. All I wanted was a Common Market. Not an EUSSR.

wilson: So the forecast that the UK population will rise to 70 million by 2025 is a gross underestimate. So much for the alleged benefits of our EU membership! What drives the Brussels political elite? To me, it looks like meglomania.

Widggget: Don't forget, economic chaos may have been part of the Plan. It was this that forced Greece & Italy to accept technocratic governments that were installed sans voters. Once proud Ireland, who fought a violent campaign to unite the land and be free of UK control, are now sold out to the EU without a shot being fired! The EU Commission has achieved domination through chaos that Napoleon or Hitler could not get by all out war.

robertfs: If the Greeks and Italians paid their taxes they might not be in such trouble.

truthmatters: The Euro is a total basket case and should never have been allowed to exist!

joolsaitch: Oh, FO+D Mr Cowie. You are scare mongering. Why should Britain be adversely affected by the demise of this idiotic and futile exercise? Is Australia, the USA, any of the South American nations, any of the Pacific nations seriously affected?  Of course not. If Britain does take a hit it is because we were ignorant enough to put money into this fools venture in the first place.

ExasperatedMe: If these 'experts' are so good at predicting outcomes why are we in this mess today?

pabroon: The quicker the Euro collapses the better. It beats lurching around from one day to the next as false dawns appear and are then dashed. One thing is for sure we can redirect the billions we would save back into our own economy. We should have been directing companies away from the continent years ago. Instead successive half wit governments have told us it's the best thing since sliced bread! Obviously not…

albertcooper: Its falling apart.greed and being on top of the pile the mantra.there just cannot be fiscal unity without political unity.Lets have a UK referendum and get out of the mess,scare stories of course,and no doubt short term insecurity,then back to the past and well away from this facist ideal.

arnoldthepenguin: Personally I will rejoice when the Euro/EU falls apart.  However, I find the rose-tinted analysis above of the possible outcome for the UK of the EU's demise to be extremely optimistic.  Perhaps this reflects the vested interest of some of the analysts (surprise surprise, those running investment companies see good reasons to keep investing…) The collapse of the EU merely represents the end of the latest round of can kicking for a five year crisis that has still not been resolved.  A step closer to the final reckoning that must surely come.

Martin: totally agree 

truthmatters: "UK banks may need further recapitalisation from the Government." Robert Farago, head of asset allocation at Schroders Private Banking Oh, really? And where will our heavily indebted government get the money to do this…from poor stuggling us…or borrow it…from the banks…or simply get the Bank of England to print it and give it to them in return for their useless shares??!! Start the music for pass the parcel again! Farago. Apt name. Farrago = a confused mixture. What a total f…f…farrago!

James Wellings: Isn't this a question the DT should have asked a year and a half ago? Instead of which it spent the time doing its darndest to bring the euro down, by spewing out falsehoods as to its demise. Very irresponsibly, if I may say so

Matt Tysoe: So complacent, we need to trade with the whole world, not a deluded bunch of socialists.

gussiefinknottle: 'the UK became a shopping mecca for European shoppers – both in terms of retail and property. So how come our economy isn't booming?

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