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'The biggest European question that faced her was over the Exchange Rate Mechanism, which was supposed to pave the way to a single currency. Nigel Lawson, her chancellor, and Sir Geoffrey Howe, then her foreign secretary, both supported entry, while the premier herself had grave doubts. Eventually, she succumbed to pressure from the two and agreed to the “Madrid conditions”, a promise of eventual ERM membership. Yet the dispute still led to Mr Lawson’s resignation in 1989, a serious political blow and one that brought John Major to the front rank.
The final push that led her into the ERM in October 1990 came from Mr Major.'