Letter: Interest in the euro

Sir: J W Smith of the UK Independence Party (letter, 13 September) misses the point entirely. If he really thinks that the Southeast of England needs one interest rate and the North of England, Scotland and Wales need another interest rate, then the logical proposal from the UKIP would be for each to have its own currency.

Interest rates should be only one part of economic management. The advantage of being in the euro is that it would bring greater control over interest rates. The irony of being outside the euro is that the UK has less real control over interest rates, while giving what is merely an illusory independence.

Now, with higher interest rates, the exchange rate will once again fluctuate, causing harm to both importers and exporters.

T DOMMETT

Fleet, Hampshire