America pulls the plug on the pound

1956 · Event

Furious at being lied to, Eisenhower blocks IMF support while sterling haemorrhages reserves, and makes oil and money conditional on an unconditional ceasefire. Britain — militarily victorious on the ground — capitulates the same day. The lesson is brutal and permanent: Britain cannot act against Washington's wishes.

On these timelines: The Suez Crisis, United Kingdom (combined), Economic History, England, Master

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