'Britain’s biggest cash revolution in decades, all yours for a fiver' diff viewer (0/1)

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Britain’s biggest cash revolution in decades, all yours for a fiver	Britain’s biggest cash revolution in decades, all yours for a fiver
2016-09-09 15:20:21 UTC	2016-09-09 17:20:31 UTC (about 2 hours later)
At midnight on Monday the first cash machines in England and Wales will be loaded with our new “polymer” plastic bank notes in the biggest cash revolution since decimalisation in 1971.	At midnight on Monday the first cash machines in England and Wales will be loaded with our new “polymer” plastic bank notes in the biggest cash revolution since decimalisation in 1971.
The Bank of England has ordered the printing of 440m of the shiny (some say slippery) £5 notes. Armoured vehicles have collected much of the £2bn-plus worth of new money from the Bank’s cash centres in Debden, Essex, and Leeds, and ferried them to more than 30 high-security vaults across the country to begin distribution to the high street banks – and on Tuesday morning the public will have the first chance to handle and use them in person.	The Bank of England has ordered the printing of 440m of the shiny (some say slippery) £5 notes. Armoured vehicles have collected much of the £2bn-plus worth of new money from the Bank’s cash centres in Debden, Essex, and Leeds, and ferried them to more than 30 high-security vaults across the country to begin distribution to the high street banks – and on Tuesday morning the public will have the first chance to handle and use them in person.
With the Queen on one side, Winston Churchill is the other face of the new fiver, which will be made out of a thin and flexible plastic material – including a see-through window – and will be 15% smaller than the current cotton-paper £5.	With the Queen on one side, Winston Churchill is the other face of the new fiver, which will be made out of a thin and flexible plastic material – including a see-through window – and will be 15% smaller than the current cotton-paper £5.
For now it’s just the fiver that is changing – plastic £10 and £20 notes will come later. The new tenner, featuring Jane Austen, goes into circulation in summer next year, while the £20 note – by far the most commonly used – won’t be in our wallets until 2020. The Bank has yet to decide if £50 notes will be printed in polymer, raising suspicions that it would rather be rid of them altogether, given how much they are used for tax avoidance and the drug trade.	For now it’s just the fiver that is changing – plastic £10 and £20 notes will come later. The new tenner, featuring Jane Austen, goes into circulation in summer next year, while the £20 note – by far the most commonly used – won’t be in our wallets until 2020. The Bank has yet to decide if £50 notes will be printed in polymer, raising suspicions that it would rather be rid of them altogether, given how much they are used for tax avoidance and the drug trade.
Scotland will have to wait a little longer. Clydesdale Bank will be the first to issue polymer fivers on 27 September, with Bank of Scotland and RBS following in October. But sorry, Northern Ireland, there’s no cash revolution for you. Despite being the location of a commemorative plastic fiver in 2000, the Northern Irish issuers – Ulster Bank, Bank of Ireland, First Trust and Danske – have no plans to match the Bank of England’s move.	Scotland will have to wait a little longer. Clydesdale Bank will be the first to issue polymer fivers on 27 September, with Bank of Scotland and RBS following in October. But sorry, Northern Ireland, there’s no cash revolution for you. Despite being the location of a commemorative plastic fiver in 2000, the Northern Irish issuers – Ulster Bank, Bank of Ireland, First Trust and Danske – have no plans to match the Bank of England’s move.
So what will happen to existing £5 notes in England and Wales? Will they remain legal tender? Should you keep one as an investment? Will they still work in a Tesco Express self-checkout? Or to buy a ticket at a train station? Why do we have to wait so long for plastic tenners and twenties? And why are we actually going through all this?	So what will happen to existing £5 notes in England and Wales? Will they remain legal tender? Should you keep one as an investment? Will they still work in a Tesco Express self-checkout? Or to buy a ticket at a train station? Why do we have to wait so long for plastic tenners and twenties? And why are we actually going through all this?
When can I get my mitts on a new fiver?	When can I get my mitts on a new fiver?
Officially, they come into circulation on Tuesday morning. But it could be a while before you are given one. There are 70,270 ATMs in the Link cash machine network, which includes all the big banks. But only 5,200 of these ATMs dispense £5 notes. The operators say most of these have been changed so they can issue the new notes “over the first month”.	Officially, they come into circulation on Tuesday morning. But it could be a while before you are given one. There are 70,270 ATMs in the Link cash machine network, which includes all the big banks. But only 5,200 of these ATMs dispense £5 notes. The operators say most of these have been changed so they can issue the new notes “over the first month”.
Barclays, for example, has 800 cash machines that can dispense the new fivers. The first machine to be upgraded won’t be until Thursday, with others coming on line over the following month.	Barclays, for example, has 800 cash machines that can dispense the new fivers. The first machine to be upgraded won’t be until Thursday, with others coming on line over the following month.
If your cash machine won’t give you one, try your bank branch, as they are more likely to be stocked. A little-known group (which prefers to be low-profile) called the Note Circulation Scheme (NCS) handles the physical distribution of cash notes in the UK. The Bank of England stocks the notes and invites members of the NCS to pick them up and take them to bank branches across the UK. We were excited to find that the largest cash depot in London, run by NCS member Vaultex for Barclays and HSBC, is almost next door to the Guardian’s offices in King’s Cross. We ~~shan’t~~ tell you the precise address, but we’re thinking of digging a tunnel.	If your cash machine won’t give you one, try your bank branch, as they are more likely to be stocked. A little-known group (which prefers to be low-profile) called the Note Circulation Scheme (NCS) handles the physical distribution of cash notes in the UK. The Bank of England stocks the notes and invites members of the NCS to pick them up and take them to bank branches across the UK. We were excited to find that the largest cash depot in London, run by NCS member Vaultex for Barclays and HSBC, is almost next door to the Guardian’s offices in King’s Cross. We wont tell you the precise address, but we’re thinking of digging a tunnel.
Barclays says its branches won’t be able to hand out new fivers until Wednesday of next week. If you’re truly desperate to see one you can be guaranteed to swap an old one for the new one by popping into the Bank of England. But it has only one branch, on Threadneedle Street in the City of London.	Barclays says its branches won’t be able to hand out new fivers until Wednesday of next week. If you’re truly desperate to see one you can be guaranteed to swap an old one for the new one by popping into the Bank of England. But it has only one branch, on Threadneedle Street in the City of London.
How long will it be before the old fiver disappears?	How long will it be before the old fiver disappears?
Quite quickly. The Bank of England estimates that half of all the existing stock of paper £5 notes will have been withdrawn from circulation by the end of the year. It stopped printing them a year ago and they tend to last only a year in circulation in any case.	Quite quickly. The Bank of England estimates that half of all the existing stock of paper £5 notes will have been withdrawn from circulation by the end of the year. It stopped printing them a year ago and they tend to last only a year in circulation in any case.
Will the old fiver remain legal tender?	Will the old fiver remain legal tender?
Not for long. From May 2017 the current £5 note will no longer be legal tender, so retailers will be under no obligation to accept them. But the bit on the note that says “I promise to pay the bearer on demand the sum of five pounds”, signed by current chief cashier Victoria Cleland, remains in place. If you find a stash of fivers in a few years’ time you won’t be able to spend them in the shops, but you retain the right to demand that the Bank of England swaps them for the new ones.	Not for long. From May 2017 the current £5 note will no longer be legal tender, so retailers will be under no obligation to accept them. But the bit on the note that says “I promise to pay the bearer on demand the sum of five pounds”, signed by current chief cashier Victoria Cleland, remains in place. If you find a stash of fivers in a few years’ time you won’t be able to spend them in the shops, but you retain the right to demand that the Bank of England swaps them for the new ones.
Should I keep some old fivers as an investment?	Should I keep some old fivers as an investment?
The brown-coloured 10 shilling note was one of the early casualties of decimalisation, withdrawn in 1970 and replaced by the 50p coin. Today you can find them for sale on eBay for £2 (and plenty with no bids). That suggests a return of just 3% a year over the past 46 years, or rather less than inflation. In 1970, a 10 shilling note would have got you two pints in a pub, with a shilling or two to spare. So the fact they are worth only two pounds today suggests that holding on to them was not the brightest bit of financial speculation.	The brown-coloured 10 shilling note was one of the early casualties of decimalisation, withdrawn in 1970 and replaced by the 50p coin. Today you can find them for sale on eBay for £2 (and plenty with no bids). That suggests a return of just 3% a year over the past 46 years, or rather less than inflation. In 1970, a 10 shilling note would have got you two pints in a pub, with a shilling or two to spare. So the fact they are worth only two pounds today suggests that holding on to them was not the brightest bit of financial speculation.
It will probably be the case with the existing £5 note, of which there are 329m currently in circulation. Keep as a memento, not as an investment.	It will probably be the case with the existing £5 note, of which there are 329m currently in circulation. Keep as a memento, not as an investment.
Are supermarkets and train stations ready?	Are supermarkets and train stations ready?
They all say they are. We rang Tesco, Sainsbury’s and Asda, and they were adamant that the polymer fivers will be accepted in self-checkout machines. Transport for London says it has recalibrated all its machines to ensure that you can pay with the new note. One small problem has been that the first notes issued to the industry by the Bank of England are slightly different to the mass print-run that have been given to the machine operators more recently. In recent tests the latest notes slip a bit more in the machine rollers than the earlier ones, although we’re told this problem has been corrected.	They all say they are. We rang Tesco, Sainsbury’s and Asda, and they were adamant that the polymer fivers will be accepted in self-checkout machines. Transport for London says it has recalibrated all its machines to ensure that you can pay with the new note. One small problem has been that the first notes issued to the industry by the Bank of England are slightly different to the mass print-run that have been given to the machine operators more recently. In recent tests the latest notes slip a bit more in the machine rollers than the earlier ones, although we’re told this problem has been corrected.
So are the new notes slippery? And will they melt?	So are the new notes slippery? And will they melt?
They undoubtedly have a more slippery, but also cleaner, feel. Somewhat conversely, they also stick together more easily than the old paper notes, but don’t worry about handing over a fiver and realising later that there were two or three stuck together – the Bank of England says stickiness is only a problem when very large numbers of brand new fivers are stacked together, which could be an issue for banks, but not for mere mortals.	They undoubtedly have a more slippery, but also cleaner, feel. Somewhat conversely, they also stick together more easily than the old paper notes, but don’t worry about handing over a fiver and realising later that there were two or three stuck together – the Bank of England says stickiness is only a problem when very large numbers of brand new fivers are stacked together, which could be an issue for banks, but not for mere mortals.
A forgotten note left in a pocket and ironed will distort and shrink in size. The Bank of England reckons that polymer notes have better durability and resistance than paper notes in all areas except the ironing test. “We are aware that polymer banknotes begin to shrink and melt at temperatures above 120C, so they can be damaged by an iron,” it said in 2013 following early testing of the notes.	A forgotten note left in a pocket and ironed will distort and shrink in size. The Bank of England reckons that polymer notes have better durability and resistance than paper notes in all areas except the ironing test. “We are aware that polymer banknotes begin to shrink and melt at temperatures above 120C, so they can be damaged by an iron,” it said in 2013 following early testing of the notes.
But today Victoria Cleland is very proud of her new notes. She says: “The new fiver marks a great step forward in Bank of England banknotes. Our new polymer notes are cleaner, safer and stronger – and should reduce the number of tatty fivers in wallets. We are all very excited to see them enter circulation.”	But today Victoria Cleland is very proud of her new notes. She says: “The new fiver marks a great step forward in Bank of England banknotes. Our new polymer notes are cleaner, safer and stronger – and should reduce the number of tatty fivers in wallets. We are all very excited to see them enter circulation.”
Why is it just fivers and not tenners and twenties?	Why is it just fivers and not tenners and twenties?
It’s partly because the notes are reducing in size. The new polymer tenner, when it comes out next year, will be similar in size to the current paper fiver, so shoppers could easily mix them up – and more importantly the blind and partially sighted will have problems identifying which is which.	It’s partly because the notes are reducing in size. The new polymer tenner, when it comes out next year, will be similar in size to the current paper fiver, so shoppers could easily mix them up – and more importantly the blind and partially sighted will have problems identifying which is which.
Why is it necessary to swap to polymer? What’s wrong with the old notes?	Why is it necessary to swap to polymer? What’s wrong with the old notes?
It’s the “cleaner, safer, stronger” argument, plus the fact they are more difficult for counterfeiters to copy. They‑will also last around two and a half times longer than existing notes, saving the Bank rather a lot of money – £100m in some estimates. And to anyone who thinks this is a mad, untested idea, go to Australia. They have successfully used polymer notes for two decades now.	It’s the “cleaner, safer, stronger” argument, plus the fact they are more difficult for counterfeiters to copy. They‑will also last around two and a half times longer than existing notes, saving the Bank rather a lot of money – £100m in some estimates. And to anyone who thinks this is a mad, untested idea, go to Australia. They have successfully used polymer notes for two decades now.
And there’s a new £1 coin, too	And there’s a new £1 coin, too
It’s not just new bank notes that consumers are going to have to grow used to – a 12-sided £1 coin is set to enter circulation in March 2017, and if you were around in the 1960s it will instantly remind you of the old threepenny bit.	It’s not just new bank notes that consumers are going to have to grow used to – a 12-sided £1 coin is set to enter circulation in March 2017, and if you were around in the 1960s it will instantly remind you of the old threepenny bit.
Back in 2014 the government announced in the budget its intention to introduce a “highly secure” £1 coin after admitting the existing ones were relatively easy to fake, with as many as 3% in circulation counterfeit.	Back in 2014 the government announced in the budget its intention to introduce a “highly secure” £1 coin after admitting the existing ones were relatively easy to fake, with as many as 3% in circulation counterfeit.
The Royal Mint says that while the outgoing design has been “wonderfully robust” – many dating back to 1983 are still in use – there are around 45m fakes in circulation with 2m spotted and taken out of circulation every year. If you spot a fake, you are supposed to hand it in at a police station, assuming you can find one that is open.	The Royal Mint says that while the outgoing design has been “wonderfully robust” – many dating back to 1983 are still in use – there are around 45m fakes in circulation with 2m spotted and taken out of circulation every year. If you spot a fake, you are supposed to hand it in at a police station, assuming you can find one that is open.
Last December the last of the present £1 coins rolled off the Royal Mint’s presses in Llantrisant, South Wales, and was promptly sent to the Mint’s museum. A total of 2.2bn £1 coins were manufactured, and 1.5bn will remain in circulation until they are phased out over a six-month period.	Last December the last of the present £1 coins rolled off the Royal Mint’s presses in Llantrisant, South Wales, and was promptly sent to the Mint’s museum. A total of 2.2bn £1 coins were manufactured, and 1.5bn will remain in circulation until they are phased out over a six-month period.
The replacement coins, which have already gone into production, are based on a design by the then 15-year-old Walsall schoolboy David Pearce, who won a national competition.	The replacement coins, which have already gone into production, are based on a design by the then 15-year-old Walsall schoolboy David Pearce, who won a national competition.
The coins, which incorporate emblems from all four of the UK’s home nations, will be harder to fake, weigh slightly less than the current ones, and have a fractionally larger diameter while being slightly thinner.	The coins, which incorporate emblems from all four of the UK’s home nations, will be harder to fake, weigh slightly less than the current ones, and have a fractionally larger diameter while being slightly thinner.
The metallic composition is nickel-brass outer; nickel-plated solid alloy inner, and they will have milled edges.	The metallic composition is nickel-brass outer; nickel-plated solid alloy inner, and they will have milled edges.
The olders generation will be struck by their similarity to the 12-sided 3d piece that disappeared with decimalisation in 1971. They also remind some of the two franc piece that went when France introduced the Euro.	The olders generation will be struck by their similarity to the 12-sided 3d piece that disappeared with decimalisation in 1971. They also remind some of the two franc piece that went when France introduced the Euro.
After their introduction in March 2017, the Royal Mint says the current £1 coins will be continue to be legal tender in tandem, but only until September. It will be up to the Treasury to decide whether any £1 coins found after that period can be exchanged at banks in the same way that bank notes can.	After their introduction in March 2017, the Royal Mint says the current £1 coins will be continue to be legal tender in tandem, but only until September. It will be up to the Treasury to decide whether any £1 coins found after that period can be exchanged at banks in the same way that bank notes can.