<P> Many other countries followed Britain in returning to the gold standard , this was followed by a period of relative stability but also deflation . This state of affairs lasted until the Great Depression ( 1929 -- 1939 ) forced countries off the gold standard . In September 19 , 1931 , speculative attacks on the pound forced Britain to abandon the gold standard . Loans from American and French Central Banks of £ 50,000,000 were insufficient and exhausted in a matter of weeks , due to large gold outflows across the Atlantic . The British benefited from this departure . They could now use monetary policy to stimulate the economy . Australia and New Zealand had already left the standard and Canada quickly followed suit . </P>
<P> Many other countries followed Britain in returning to the gold standard , this was followed by a period of relative stability but also deflation . This state of affairs lasted until the Great Depression ( 1929 -- 1939 ) forced countries off the gold standard . In September 19 , 1931 , speculative attacks on the pound forced Britain to abandon the gold standard . Loans from American and French Central Banks of £ 50,000,000 were insufficient and exhausted in a matter of weeks , due to large gold outflows across the Atlantic . The British benefited from this departure . They could now use monetary policy to stimulate the economy . Australia and New Zealand had already left the standard and Canada quickly followed suit . </P>
when did the uk stop using the gold standard
when did the uk stop using the gold standard
September 19 , 1931
September 19 , 1931