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I think this is about two lovers who have ended their relationship together, because the narrator has found out that he (Faye is the narrator, so the liar would be a boy) has been telling lies, hence the lyric "why did you have to lie?".
I think this is about two lovers who have ended their relationship together, because the narrator has found out that he (Faye is the narrator, so the liar would be a boy) has been telling lies, hence the lyric "why did you have to lie?".