Indicates a sudden, intense burst of anger, often used when someone cannot control their feelings anymore. He was calm until the argument got personal, then he lost his rag.
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Colloquial Usage
Primarily used in casual conversation, not in formal writing or professional environments. She's usually professional, but she lost her rag when the meeting ran over time.
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British Expression
Recognize that it's a British phrase, may not be understood or used by English speakers from other regions. After living in London for a year, I've noticed people often say 'lose your rag' instead of 'get angry'.