Billionaire investor and philanthropist George Soros, best known as the “Man who broke Bank of England” warned that the devaluation of the British sterling could be much worse than that on Black Monday when the pound dropped 15 percent against the Deutsche mark. George Soros had used his quantum fund to bet against the Bank of England’s (BoE) exchange rate mechanism against the mark, which finally led to  a devaluation of sterling and withdrew of the pound from exchange rate mechanism. He reportedly made a billion dollar in that trade.

Now he warns again that an exit from the European Union will lead to 15-20 percent devaluation in the sterling and the exchange rate could be pushed back below 1.15 against the dollar. He also warned that too many think that British exit will have no impact on their personal finance but that is a wishful thinking. Income loss per household will be £3000 to £5000 per annum.

He cited three reasons for his arguments:

One, with rates already at low, Bank of England (BoE) doesn’t have much room to maneuver. Two, UK has a large current deficit. Three, weaker sterling will not help British exports due to legal uncertainties surrounding trade rules.

He said that with Brexit, the week will end with a Black Friday. The pound is currently trading at 1.471 against the dollar, buoyed by polls showing momentum shift in the favor of remain.