Austerity in Britain pays its first dividend.

This article reports on the move by the Labor government of Great Britain Prime Minister Harold Wilson to freeze specific wage and prize increases as part of its bid to avoid devaluing the pound sterling. The move has resulted into a rash of factory shutdowns and worker layoffs. The measure seems to achieve Wilson's goal as the country's foreign trade and balance of payments deficits have reversed with the Bank of England announcing that gold and U.S. dollar reserves had risen.