1 pound note
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I don't think it's the cost. Banknotes are relatively cheap to produce (smaller nominal values can have less fancy protection). I think it's more likely due to the inflation. Less valuable coins became more useless and they needed something to throw into parking and vending machines. Actually, I have no clue and I think I have never pound in my hands ever, but it's a fun thread.
Coins last much longer though. Fishing around for some reference numbers: A US 1 dollar bill costs 6 cents to make and lasts about 21 months[^]. That's about the same as the metal cost for the old pound coint[^]. The minting process will add to that total, but unless it adds a lot a coin that lasts for a few decades will still be cheaper overall than a stack of bills that die last mayflies.
Did you ever see history portrayed as an old man with a wise brow and pulseless heart, waging all things in the balance of reason? Is not rather the genius of history like an eternal, imploring maiden, full of fire, with a burning heart and flaming soul, humanly warm and humanly beautiful? --Zachris Topelius Training a telescope on one’s own belly button will only reveal lint. You like that? You go right on staring at it. I prefer looking at galaxies. -- Sarah Hoyt
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Out of curiosity... why were they taken out?
Jeremy Falcon
The only reason the same didn't happen in the US was that the Susan B Anthony dollar coin was a flop (too easy to mistake for a quarter); and then vending machine makers figured out how to make a cheap scanner that could tell real bills from mass market grade counterfeits before the hangover from the former debacle made another serious attempt politically viable. Once they had a bill slot available they stopped agitating for a dollar coin; and since they were the main advocate in the US at the time...
Did you ever see history portrayed as an old man with a wise brow and pulseless heart, waging all things in the balance of reason? Is not rather the genius of history like an eternal, imploring maiden, full of fire, with a burning heart and flaming soul, humanly warm and humanly beautiful? --Zachris Topelius Training a telescope on one’s own belly button will only reveal lint. You like that? You go right on staring at it. I prefer looking at galaxies. -- Sarah Hoyt
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It makes you wonder then why stop at £1 notes then and why not just go to coins. You'd think the larger denominations are the ones you'd want to stand the test of time rather than the £1 ones. Just out of curiosity how many of them coins you got floating around in your pocket on any given day? They weigh your pants down?
Jeremy Falcon
With bills it's the opposite actually. Due to the higher profits in counterfeiting you want faster turnover in high value currency so old designs can be removed from circulation before too many good enough fakes are produced. That's also one of the factors behind the demise of large denomination bills like the £100 note. The other is that large denomination bills are also used for transferring criminal profits around without leaving paper trails. Anti-money laundering groups have been advocating the retirement of all $100 class bills for years because of that. Other than for Grandma and Grandpa wanting to make a large cash gift in a single bill I've only ever seen $50/100 bills used when selling largish amounts of scrap metal. The latter was ~20 years ago; with various attempts to stop copper theft/etc I've seen over the years since I'm not sure if they can still operate as cash businesses or not.
Did you ever see history portrayed as an old man with a wise brow and pulseless heart, waging all things in the balance of reason? Is not rather the genius of history like an eternal, imploring maiden, full of fire, with a burning heart and flaming soul, humanly warm and humanly beautiful? --Zachris Topelius Training a telescope on one’s own belly button will only reveal lint. You like that? You go right on staring at it. I prefer looking at galaxies. -- Sarah Hoyt
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Ah, real money that actually had some value. I remember going out for an evening with only a ten shilling note and a few coins in my pocket. Never had anything left for the bus home though.
When I were a lad, a bunch of us went up to West End to go to a "disco". Long story short, we came out of there penniless, in the middle of the night and had to walk home. Took several hours as I recall. Ah, those were the days! :-)
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They still exist in Scotland, but the only people that use them are beggars as they can hide them in their socks.
But would they still be accepted as legal tender still, or are they just used as sock padding now?
Jeremy Falcon
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The only reason the same didn't happen in the US was that the Susan B Anthony dollar coin was a flop (too easy to mistake for a quarter); and then vending machine makers figured out how to make a cheap scanner that could tell real bills from mass market grade counterfeits before the hangover from the former debacle made another serious attempt politically viable. Once they had a bill slot available they stopped agitating for a dollar coin; and since they were the main advocate in the US at the time...
Did you ever see history portrayed as an old man with a wise brow and pulseless heart, waging all things in the balance of reason? Is not rather the genius of history like an eternal, imploring maiden, full of fire, with a burning heart and flaming soul, humanly warm and humanly beautiful? --Zachris Topelius Training a telescope on one’s own belly button will only reveal lint. You like that? You go right on staring at it. I prefer looking at galaxies. -- Sarah Hoyt
That actually makes a lot of sense. So I'm starting to wonder if the 1 notes will ever make a comeback in the future... I mean before we drop paper altogether.
Jeremy Falcon
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With bills it's the opposite actually. Due to the higher profits in counterfeiting you want faster turnover in high value currency so old designs can be removed from circulation before too many good enough fakes are produced. That's also one of the factors behind the demise of large denomination bills like the £100 note. The other is that large denomination bills are also used for transferring criminal profits around without leaving paper trails. Anti-money laundering groups have been advocating the retirement of all $100 class bills for years because of that. Other than for Grandma and Grandpa wanting to make a large cash gift in a single bill I've only ever seen $50/100 bills used when selling largish amounts of scrap metal. The latter was ~20 years ago; with various attempts to stop copper theft/etc I've seen over the years since I'm not sure if they can still operate as cash businesses or not.
Did you ever see history portrayed as an old man with a wise brow and pulseless heart, waging all things in the balance of reason? Is not rather the genius of history like an eternal, imploring maiden, full of fire, with a burning heart and flaming soul, humanly warm and humanly beautiful? --Zachris Topelius Training a telescope on one’s own belly button will only reveal lint. You like that? You go right on staring at it. I prefer looking at galaxies. -- Sarah Hoyt
I can see that, but personally I'm in favor of leaving the denominations alone for the dollar... more small government type stuff I can't get into in the lounge. But, this would make sense as to why there aren't £100 notes, since I was curious about that too.
Jeremy Falcon
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That actually makes a lot of sense. So I'm starting to wonder if the 1 notes will ever make a comeback in the future... I mean before we drop paper altogether.
Jeremy Falcon
I doubt it. Coins are more cost effective for the national banks/mints. If anything, I'd expect to see higher denomination coins slowly eroding the supply of bills from below to encourage people to use cards or other traceable forms of electronic payment instead.
Did you ever see history portrayed as an old man with a wise brow and pulseless heart, waging all things in the balance of reason? Is not rather the genius of history like an eternal, imploring maiden, full of fire, with a burning heart and flaming soul, humanly warm and humanly beautiful? --Zachris Topelius Training a telescope on one’s own belly button will only reveal lint. You like that? You go right on staring at it. I prefer looking at galaxies. -- Sarah Hoyt
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I doubt it. Coins are more cost effective for the national banks/mints. If anything, I'd expect to see higher denomination coins slowly eroding the supply of bills from below to encourage people to use cards or other traceable forms of electronic payment instead.
Did you ever see history portrayed as an old man with a wise brow and pulseless heart, waging all things in the balance of reason? Is not rather the genius of history like an eternal, imploring maiden, full of fire, with a burning heart and flaming soul, humanly warm and humanly beautiful? --Zachris Topelius Training a telescope on one’s own belly button will only reveal lint. You like that? You go right on staring at it. I prefer looking at galaxies. -- Sarah Hoyt
I have a feeling you might be right. Crazy to think that in future generations paper money will seem so antiquated to folks.
Jeremy Falcon
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I have a feeling you might be right. Crazy to think that in future generations paper money will seem so antiquated to folks.
Jeremy Falcon
They'll probably feel the same about coins. And credit/bank cards for that matter. IMO the only real question is if some sort of physical token (eg a smartphone or whatever replaces them) will still be used or if the system will go fully biometric.
Did you ever see history portrayed as an old man with a wise brow and pulseless heart, waging all things in the balance of reason? Is not rather the genius of history like an eternal, imploring maiden, full of fire, with a burning heart and flaming soul, humanly warm and humanly beautiful? --Zachris Topelius Training a telescope on one’s own belly button will only reveal lint. You like that? You go right on staring at it. I prefer looking at galaxies. -- Sarah Hoyt
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They'll probably feel the same about coins. And credit/bank cards for that matter. IMO the only real question is if some sort of physical token (eg a smartphone or whatever replaces them) will still be used or if the system will go fully biometric.
Did you ever see history portrayed as an old man with a wise brow and pulseless heart, waging all things in the balance of reason? Is not rather the genius of history like an eternal, imploring maiden, full of fire, with a burning heart and flaming soul, humanly warm and humanly beautiful? --Zachris Topelius Training a telescope on one’s own belly button will only reveal lint. You like that? You go right on staring at it. I prefer looking at galaxies. -- Sarah Hoyt
I don't have anything to really go off of, but I'm willing to bet the entire physical nature of it will just go away. So, I'd lean towards biometric, etc. I mean hell, we're even doing that with other things like roller coasters already. Can't go and have a real one, that's scary, they gotta be virtual now.
Jeremy Falcon
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But would they still be accepted as legal tender still, or are they just used as sock padding now?
Jeremy Falcon
They are in Scotland, not in England, in the same way that English notes aren't legal tender in Scotland. However, whilst English notes are generally accepted in Scotland, Scottish notes are harder to spend in England, it tends to be up to the discretion of the place you're spending them. If you're in the north of England they might get accepted.
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They are in Scotland, not in England, in the same way that English notes aren't legal tender in Scotland. However, whilst English notes are generally accepted in Scotland, Scottish notes are harder to spend in England, it tends to be up to the discretion of the place you're spending them. If you're in the north of England they might get accepted.
Good to know. Thanks.
Jeremy Falcon