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 missile technology at a moderate cost, which became the UK Polaris programme. Franco-American ties never recovered from the Suez crisis. There were various reasons for this. Previously there had already been strains in the Franco-American relationship triggered by what Paris considered U.S. betrayal of the French war effort in Indochina at Dien Bien Phu in 1954. The incident demonstrated the weakness of the NATO alliance in its lack of planning and co-operation beyond the European stage. Mollet believed Eden should have delayed calling the Cabinet together until 7 November, taking the whole canal in the meantime, and then veto with