Half think Euro will fail by summer


euro clockVirginia Mayo/AP/Press Association Images

Apparently half of all Britons think the Euro is in such dire straights that it will have folded entirely by the summer. We can all look forward to a continent in disarray, currencies in free-fall, and suddenly finding ourselves very well off when we travel in the 'former eurozone'.

However, the experts warn that this is both highly unlikely, and a fairly dangerous mistake to make.


Anthony Wagerman, of Travelex, which ran the survey, said: "Brits are unsurprisingly confused by currency, but with the ongoing concerns over the future of the single currency that's understandable. We'd urge anyone travelling abroad to check their facts first because despite the speculation they still only need to be taking one currency when they go to the eurozone and that's the euro.

"Whilst there is a lot of speculation about the Eurozone at present, none of us can predict what is going to happen. If Greece or another country were to fall out of the euro, it wouldn't necessarily mean other countries would, so the euro would still be valid."


James Hickman, MD of Caxton FX went further, saying: "I would think it's more likely that a meteorite will land on London than every country coming out of the Eurozone by the summer. It's just ludicrous."

He says that there remains a chance that Greece, and possibly other troubled currencies, will be forced to leave the euro at a later date, but says: "It would take a long time, it wouldn't be immediate and it would be an orderly exit."


Hickman warns that it would be a terrible mistake to gamble on the fall of the euro as a means of affording your holiday. He said: "People need to be working on the basis that travelling in the eurozone will be expensive this summer, and if they are looking for budget alternatives they could consider areas outside the zone, such as Turkey."

He adds: "There are better ways to bring down the cost of travel. One option is to buy currency at the point you think the exchange rate is most favourable. You can do this by buying currency on a pre-paid card to spend while you are away."

However, it remains to be seen whether we have the knowledge to work out what constitutes a good time to buy. After-all the same survey found that 40% of Brits thought the Isle of Man had its own currency, and 10% thought that Wales did.