PAPER money dates back through the centuries, but it is being phased out now, with paper £50 and £20 notes losing their legal tender status in a matter of months. Do you have any lying around?

 

How long till they are withdrawn?

After September 30, paper £20 and £50 notes will no longer be legal tender, The Bank of England has announced, calling on anyone with any of the notes remaining in their possession to use them between now and then, or deposit them at their bank or a Post Office during these last days.

 

They have been replaced?

The majority of paper £20 and £50 banknotes in circulation have been replaced with new polymer versions, but it is estimated that there are still more than £6 billion worth of paper £20s, featuring the famed Scots economist Adam Smith, and more than £8 billion worth of paper £50s, featuring English engineer Matthew Boulton and Scots engineer, James Watt, in circulation. That’s more than 300 million individual £20 banknotes, and 160 million paper £50 banknotes.

 

In Scotland?

Bank of Scotland, Clydesdale Bank and the Royal Bank of Scotland will also take paper versions of their £20 and £50 banknotes out of circulation after September 30, with polymer taking over. The Committee of Scottish Bankers said: “All the Scottish banks will begin to withdraw paper notes from circulation as the polymer notes are issued. These notes will continue to be honoured, however, if you have any of these notes you should take these to your branch/bank for credit to your account.”

 

It’s a worldwide trend?

Australia became the first country to make the change fully in the 1990s.The US dollar, though, is printed on a linen and cotton blend with red and blue fibres distributed randomly to deter counterfeiting.

 

Why the change?

In part to make them more difficult to counterfeit, as well as more durable, but the Bank of England’s chief cashier, Sarah John, said: “A significant number remain in the economy, so we’re asking you to check if you have any at home.” 

 

Paper notes are ancient?

The first recorded use of paper money dates to 7th century China, although it was not until the 16th century that their use become more common in Europe. In Britain, banknotes were originally hand-written and although they were partially printed from the early 18th century onwards, cashiers still had to sign each note and make them payable to someone. Notes were fully printed from 1855 and have featured portraits of British historical figures from the 1970s.

 

It comes as…?

Cash payments are likely to fall to just 10 per cent of all UK transactions within the next 15 years, according to a recent study funded by Link, ‘Access to Cash’, with card and digital transactions proving quicker and more convenient for many.

 

However?

There are concerns about the impact on more vulnerable groups. Age Scotland point out: “While more and more older people are embracing technology, those who still rely on cash are more likely to be older, poorer and more vulnerable.”