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Television screens show George Osborne announcing reductions in spending the last week. Photo: PA

"I think that what the UK is absolutely crazy" John Taylor, founder of the Fund FXConcepts billion $, told the Sunday Telegraph. "" "" Conservatives lose their stomach for it.?

Reduce the budget deficit from Britain ￡ 156bn is the cornerstone of the Government's plan to restore the health of the economy Hon.George Osborne, the Chancellor of the Exchequer, said Parliament week last as the 81bn ￡ spending cuts would make "Britain from the abyss."

Although plan m. Osborne has won the support of many economists, there remains concern damages a recovery which is already showing signs of flagging.

"The last number of retail outlets have been pretty ugly and we must pass through the striking of the VAT, said Mr. Taylor, 67, is one of the oldest operators changes.La book markets be fall below 1.40, maybe this year, it looks." Sterling reaches 1.43, its lowest in the dollar this year in May.

The Bank of England hosted publicly decline of sterling since the financial crisis that broke out in 2008, but the Central Bank is not alone. Having already embarrassing hard on monetary and fiscal levers, a growing number of Governments are considering a weaker currency as a means to ensure their share of the global recovery an uneven.

As many exchanges of currencies, Mr. Taylor said the United States are eager to see the greenback down despite its official commitment of one dollar strong. This policy, which can be accomplished by a new round of quantitative easing - or money - printing next month, is as "throw a rock in the international monetary system, glass window" said M. Taylor, who founded FXConcepts in New York City in 1981.

The decline of the dollar for the three months has already prompted the Japanese, the Israelis and the South Koreans to intervene to support the greenback and the monetary policy is likely to be the order of the day when leaders of the G20 countries meet in South Korea next month.

However, Dr. Taylor is skeptical that the decline of the dollar against the euro can be maintained. "Euro to 1.40 six months being récession.Je Europe cannot believe that the European authorities are as stupid as this.?

Despite the headaches for policy makers, emphasis on currency creates opportunities for those who trade. ""Currency markets follow the trend right up to the edge of the cliff, and I hope that step,", explained Mr. Taylor.

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