Economic history of the United Kingdom once the territories gained independence and were free to negotiate their own trade agreements. Although the '50s were overall a time of great prosperity for Britain, the Suez Crisis of November 1956 precipitated a financial crisis and a run on Sterling which underlined how fragile post-war British finances were. The tripartite invasion of the Suez Canal Zone by Britain, France and Israel following Egypt's nationalization of the canal (before then majority owned by the British government) was a disaster for British prestige and the economy. The United States and the United Nations came out firmly against the occupation, which caused
Suez Crisis believed the USSR was prepared to launch a nuclear attack on Britain, France, and Israel for the sake of Egypt. Though Nasser in private admitted that it was American economic pressure that had saved him, it was Khrushchev, not Eisenhower, whom Nasser publicly thanked as Egypt's saviour and special friend. Khrushchev later boasted in his memoirs: Khrushchev took the view that the Suez crisis had been a great triumph for Soviet nuclear brinksmanship, arguing publicly and privately that his threat to use nuclear weapons was what had saved Egypt. Khrushchev claimed in his memoirs: The conclusion that Khrushchev drew from