How much would conversion to the euro cost?
In November 2000, the House of Commons Trade and Industry Committee (which is has a Labour Majority) attacked the government for ignoring the issue of euro transitional costs. The Government, said the Committee, iwas “unwilling even to discuss the costs” of adopting the euro. This is perhaps unsurprising, since the consultancy KPMG put the total cost at a staggering £51 billion, based on responses from 300 firms that estimate the cost to them of £30 million each. The British Retail Consortium estimates the retail costs for making the changeover to the euro at around 2.5% of turnover, with smaller firms suffering disproportionately high costs. * Naturally, all these costs – and other inconveniences – will be borne by consumers.
