How come uk company’s are so expensive in comparison
Fluctuated exchange rate. £ was seen as safe compared to the euro, so europeans wanted to buy £’s, which meant they all got less £’s for their euros as the value got pushed up (relatively).
The prices are fixed to an extent in each country by inertia (people won’t pay 20% more than last year even if the exchange rate changes that much, because their wages aren’t linked to the exchange rates). So over the last 5 years the £ has droped from 1.5 euro to 1.1 euro, so buying stuff from the continent seems cheep.
But then over time all the £’s end up in the eurozone, so everyone’s got £’s, and they’re worth less as a result, so the exchange rate creeps back to 1.5 euro:£.
Obviously that applies to whole economies, not just one shop.