1984: Quid notes out, pound coins in. The English pound note is set to disappear after more than 150 years.
£1 notes were greeted with nothing short of public outrage when they were first put into circulation as an emergency measure to replace gold sovereigns during World War I, and there was a similar reaction in 1984 when they were removed from circulation to be replaced by the round £1.00 coin.
Despite general misgivings, the new pound coin was welcomed by some groups, such as blind people, because it was easy to distinguish. It also found favour among makers of ticket and vending machines.
Announcing the notes’ withdrawal, the then-chancellor Nigel Lawson told the House of Commons that although the coins were slightly more costly to produce, they would last up to 50 times longer.
Shops will soon be able to refuse your round pounds.
Savers should probably start spending their masses of £1 coins right about now.
The new pound coin was announced to much fanfare when it was redesigned, but within a couple of months, it will actually arrive.
So if you happen to find a £1 coin lying around, no one has to accept it.
The 12-sided coin is being introduced to combat the fake coins that are currently in circulation. It is thought that as many as one in thirty coins is a forgery.
It is being released on March 28th, though there will be a period when both the 12-sided and the old coins will be accepted.
However, the Bank of England has notified retailers that after October 16 they will be under no obligation to accept the round £1 coins from their customers and that they should not redistribute them.
Some banks have issued statements that they will accept the current pound coin after October 15, but only from their own customers.
Martin Lewis’s Money Saving Expert website added: “There may be a few months left to sort it out, but it’s worth doing now as it’s all too easy to squirrel money away in piggy banks and forget about it.“
Carting a bag of coins to the bank is a real nuisance, particularly if there isn’t a branch near you. So it’s much better to spend them now.
The new coin will be made of two metals and is going to have hidden security features.
The newly introduced £5 note, which features a picture of Elizabeth Fry, will be out of circulation by May, and the new plastic £10 note, which launches in September, following the replacement of the new fiver will feature Churchill.
The new £5 note has been introduced quite gradually, and the old version, with an image of Elizabeth Fry on them, will be out of circulation by May and the new £10 note will be launched in September.
The Bank of England said: “If, after May 2017, you find you still have some paper £5 notes you will be able to exchange them at the Bank of England.“
“But until then, carry on spending paper £5 notes as usual.“