Pound Crisis

In September 2022, the British pound hit its lowest level against the dollar in 230 years. The Bank of England called it “a material risk to UK financial stability.”

The turmoil passed quickly, but it played a key role in pushing the country into new leadership. Liz Truss had been appointed prime minister earlier that month after telling fellow Conservative Party members that she would cut taxes (the easy part) and grow the economy. Then, she hoped, at the next general election, she could win a mandate to cut spending too (the hard part).

Read more at “The End of Free Money?”