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@mashton
I found out a bit more about this yesterday.
Basically, without the support of the bank of England as a clearing house, you can't use the currency.
And if you did, you'd have your interest rates being set by a foreign country. One that you had just pissed off.
The alternative is to change currency from GBP to something else. This raises at least two interesting questions:
what happens to everyone's mortgages that are now in a foreign currency, subject to foreign interest rates and exchange fluctuations?
what happens to all of the state pensions that are now sort of owed to your citizens by a foreign nation, that are also subject to foreign interest rates and exchange rates. Said foreign nation has no obligation to honour them and there is no international jurisdiction that can force them to.