What is money called in England? Useful information before traveling to the UK. English money: history and interesting facts

Monetary unit, the national currency of Great Britain.

There are 100 pence in one pound. Designation £, abbreviation GBP. If we talk about the world's foreign exchange reserves, today the currency ranks third, second only to the euro and the dollar.

In foreign markets it is the fourth exchange currency after the dollar, euro and yen. The pound sterling is also used as a reserve currency throughout the world, which is influenced by the stability of the UK economy.

History, origin of name and designation

The English pound is denoted by this symbol - £, but few people know what it means. If you look closely, it's the letter L. But there is no logic between "Pound Sterling" and the letter L. The fact is that a pound is a measure of weight, and sterling is an old English coin. And a pound sterling is the same as a kilogram of kopecks. That is, before, when a whole pound of such sterling was collected, they were already considered a separate unit. Later, the Bank of England introduced such a monetary unit as the pound sterling; before that it did not exist. Let's return to the designation, the fact is that the pound is also an ancient Roman measure of weight, but it was called differently in Latin - libra. The English currency, however, is called “Pound” for some reason. In Latin there was an expression “libra pondo”, which meant “pound in weight”, that is, libra is pound, and pondo is weight.

Banknotes and coins

English money is issued:

in coins - 1, 2, 5, 10, 20 and 50 pence, as well as 1 pound and 2 pounds;
in banknotes - 5 pounds (in 2017, a new type of 5 pounds appeared, the paper was completely changed, the polymer material wrinkles less, does not tear, is protected from moisture), 10, 20 and 50 pounds.

Fifty pounds is the highest denomination of a banknote in England, and you can’t just get it unless you specifically ask for it at the bank. The bills themselves are quite large; when compared to euros, pounds are wider and longer. As in any country, in England there are many coins with rare designs that are collected by professional numismatists and just amateurs, most of the 50 pence were issued during the London Olympics, all on a sports theme, the coins depict almost all sports. There are also coins that are dedicated to a specific significant date. The secret of English money is that, having collected a certain number of coins with a certain design, you can lay out the coat of arms of England from them.

The first paper banknotes appeared at the turn of the 17th and 18th centuries, when the Bank of England was founded. Currently, 8 banks issue banknotes, which is why their design is different. There is one bank in England, three banks in Scotland, and four banks in Northern Ireland. In 2017, a new 5 pound note came into circulation in the UK. This money is much stronger and more durable, and it is also much harder to counterfeit. The main advantage of new-style banknotes is that they have a longer service life, since the life of old-style paper banknotes is only 1.5-2 years, and new banknotes are 5 years. Protection from counterfeiters also plays a role. Today, those who counterfeit banknotes do not have the technology to exactly replicate a new plastic banknote. By the way, the pioneers in issuing polymer money were Haiti, Costa Rica and the Isle of Man back in 1983. But the bills did not take root there, because the paint began to peel off due to the hot and humid climate.

The downside of introducing new banknotes is that bank and store owners will have to spend more than 200 million pounds to adapt the new money for ATMs and cash registers. In addition, to issue not paper, but polymer banknotes, it is necessary to launch new equipment, but in the end, according to some experts, plastic will cost more than paper, taking into account its service life, and will certainly be cheaper than metal. Following the first note, a plastic £10 note is being released, featuring the image of the writer Jane Austen. The 20 pound note is planned to be released in 2020, and the old 5 pound note (paper) completely went out of circulation in May 2017. The circulation of the first plastic banknotes in the UK is approximately 440 million copies.

England is a state with its own independent currency. The pound sterling is considered the main currency of the United Kingdom of Great Britain, as well as Northern Ireland and Scotland. This money is in circulation in all lands annexed to England. The pound sterling has a very ancient history and is a stable currency on the world market.

The story of one pound

A pound sterling is equal to 100 pence. The name of the currency itself originated in the 12th century. At that time, the phrase “pound sterling” meant “a pound of pure silver” and was a monetary measure.

Historians have found that in 1300, silver pennies with stars engraved on them were called sterling..

In 1694, the English bank began to produce its own banknotes, and the name of the currency became quite official and generally accepted.

Since 1971, the British pound, to which sterling is added only in official documents, has been equated to the decimal monetary system.

Scotland and Ireland issue pounds with their own design, but equal in value to the British currency. Sometimes there are difficulties with paying with such money in England and Wales.

British denomination money

UK national banks issue money in the following equivalents:

5 pounds;
10 pounds;
20 pounds;
And 50 pounds.

There are also 1 and 2 pound coins. There are 1, 2, 5 and 10 pence coins in circulation. When calculating, you can find pence in 20 and 50 monetary units.

Since 2016, the Bank of England has issued the first polymer banknotes. Money in the UK depicts significant landmarks, prominent political and cultural figures, people of science and, of course, the Queen.

Pounds sterling today

Despite the fact that England has not yet left the European Union, the euro is not in favor on its territory. One of the conditions for England's entry into the European Union was the provision of maintaining the circulation of its own currency.

Before World War II, pounds were the most sought after currency in the world. The post-war crisis in Britain shook their position. Today the pound sterling is in third place in the ranking of world currencies.

The exchange rate of British money is floating. It is the pound sterling that constitutes the reserve fund of the country's economy, so the economic situation in England is quite stable and inflation is relatively low.

Changing money in the UK is quite easy. It is enough to contact the state bank, which is open from 9 am to 3 pm. Exchangers at the airport and train stations also offer their services for currency conversion, but you need to pay attention to the exchange rate and commission.

The UK currency is a stable monetary equivalent. It occupies a significant place in the stock market and is popular among foreigners who choose banks for long-term investments.

20 GBP banknote (new version)

London is the capital of Great Britain. This country is currently one of the main members of the European Union, however, in this state and, accordingly, in London, the main currency at the moment is the pound sterling (English). The smallest monetary unit is the penny. One pound contains 100 of these pence. The name of these funds comes from the word pondus, which means heaviness or weight, and sterling literally translates as a silver coin that was used in monetary circulation in the 12th century. 1694 is the year of issue of the first paper banknote, which gave rise to the modern one. And before that, they used a monetary system that was based on the 12-fold principle.

Basic information for tourists

The main bills in London today are 5, 10, 20, and 50 pounds. As in all cities, there are also coins that are made of copper and silver. Copper coins are 1 and 2 pence, followed by coins in denominations from 5 to 50 pence. 1 pound gold coin. In the city of London you can often find a few Scottish pounds in your wallet. This is because Scotland is an autonomous part of the UK, and therefore the currency that is used there is also allowed throughout the United Kingdom.

In London, you can exchange money at special money exchange points and bank branches. The exchange fee is about one percent of the amount you want to exchange. If you did not have time to exchange money during the day, then at night you can do this in hypermarkets or travel agencies. When exchanging money, you will naturally need cash and a passport. A huge number of ATMs located throughout the city will allow you to easily withdraw money at any time convenient for you. Another way to get cash is a traveler's check. You can cash it in banks, train stations and international airports.

At the moment, the most unfavorable currency exchange rates are provided by airports and train stations, and in banks you can change currency on the most favorable terms. Four large banks provide their services in London. The operating hours of these institutions are limited by time frame. Saturday and Sunday are closed, and on other days they are open from 9:30 to 15:30. Sometimes it is possible to extend the working day by one hour. During periods of special demand, these establishments are also open on Saturdays until 12:00. Bank branches located at airports operate every day 24 hours a day.

Nowadays, the use of plastic cards visa, master card and many others has become fashionable. These cards are accepted in all kinds of establishments: cafes, restaurants, grocery stores, etc. However, there are places where civilization has not reached, and therefore you will need cash in order to pay for the purchase of any product or service there. At the same time, you need to remember that the most problematic banknote is 50 GBR, since it is difficult to change it. To avoid this, you need to stock up on as much change as possible.

The English currency is called the pound sterling, one unit of which contains 100 pence. In the singular they are called peni. Although sterling is inferior to the dollar and euro, it accounts for a third of the world's foreign exchange reserves. were able to maintain their independence from the European Union when the country refused to switch to another currency and left the national one.

Creation of English currency

The history of its creation goes back to the Mercian King Offa, who ruled in East Anglia. It was this monarch who first introduced the silver penny into circulation, which immediately became widespread. After 12 centuries, official coins began to be minted in Britain. They were also made of pure silver. Then pounds sterling appeared.

origin of name

Since then, this is the name of English money. In this language, sterling means “of good quality, pure.” The second component of the name of the currency was the measure from which the coins were minted. The result was the pound sterling (singular). This name is used to officially distinguish it from similar-sounding currencies. In everyday life, English money sounds simpler - sterling or pound.

The Unusual History of Currency

This is the oldest currency that still exists in global circulation. The first money in England appeared with money changers. These were master jewelers. They kept precious metals and products made from them brought by other people. Receipts were issued for things, which began to be considered the first paper money.

Later they began to be produced in large quantities, but were backed by a minimum of gold. Loans began to be issued. Interest was paid for using the money. Moreover, the loan amounts were much greater than the available assets. King Henry I decided to fight the scammers.

He took away the right to issue money from jewelers and created a system of measuring rods, which lasted until 1826. The denomination was indicated by notches. The rod split along them and was put into circulation. One part remained with the monarch as proof of the authenticity of the original currency.

After Queen Mary came to power, minted English money from gold and silver began to be hidden. The result was an economic recession. When Elizabeth I came to power, the issue of money was already completely controlled. Coins began to be minted only in the royal treasury.

Gold coins were rare and were equal to 20 silver coins. Over time, other denominations appeared, which began to be called:

crown;
penny;
sovereign;
guinea.

Much more gold began to be minted, but the value of such money decreased accordingly. Over time, coins made of metal, copper and tin came into circulation. In 1660 the coinage changed and forged coins were issued for the first time. Nickel-brass coins appeared in 1937, and cupronickel coins in 1947.

Decimal pound system

In February 1971, the decimal system was introduced to simplify calculations. The government replaced pennies and shillings with one coin. One pound became equal to 100 pence. This differentiated the old and new coinage. In 1969, the previous ones began to be withdrawn from circulation.

The first coins of the decimal system were made of cupronickel. In 1971, the minting of bronze money began. Over time, it was replaced by copper-plated steel. Modern coins appeared in 1998. Of the old samples, only copper coins remained. At that time, the pound sterling to the ruble was 1:24.6966. This value changes every year.

Description and banknotes

What is the money in the UK now? The decimal system is still in effect. The official currency of the country is the pound sterling. In everyday life there are bills and coins in denominations (in pence):

There are 1 and 2 pound coins in use. The coins depict Elizabeth II, and there is letter engraving on the edges of the money. On the reverse side is minted:

Abbey portcullis;
thistle;
Tudor rose;
coat of arms of the Prince of Wales;
symbol of the British Isles;
leek.

Crowns are still in circulation and are considered legal money. The first banknotes were issued by the Bank of England in 1964. They have the following denominations:

All depict Elizabeth II. Prominent figures from the country's history are depicted on the reverse side.

Rate

The British currency is one of the most valuable in the world. The pound sterling exchange rate against the ruble froze at 1:95.3. This is data from the Central Bank of Russia. Despite the fact that the British currency is weakening somewhat, the demand for pounds remains the same. The exchange rate of the pound sterling against other currencies remains virtually stable. To the euro - 1:1.239, to the American dollar - 1:1.413, to the Swiss franc - 1:1.348.

The fact is that, being part of the countries of the European Union, it nevertheless retained its national currency. Money is presented here in pounds sterling, and in England you can only pay with them. It is worth noting that the English currency is one of the most stable in a changing world.

History of money

The first money appeared in England with the beginning of the activities of the so-called money changers. A similar picture was observed in the history of the economies of other countries of the world. Money changers are not ordinary bankers in the modern sense of the word, but masters of jewelry making. They were engaged in keeping precious things (mostly gold) brought by other people.

For this they gave the person a receipt, which was very convenient and useful for both parties. This was the first paper money. Later, the money changers noticed that not all people returned their things, and therefore decided to deceive everyone: paper money began to be issued in larger quantities than there was gold “underneath them.” Simple banking operations began to take place: loans were issued, and interest was paid for using them. The loan amounts were much greater than the assets the jewelers had.

I was the first to combat this state of affairs.. He created an amazing monetary system, taking away the right to issue paper money from jewelers. Created around 1100, the measuring rod system lasted until 1826, although from the outside it seems quite specific. In it, wooden slats with notches necessary to indicate the denomination were considered as money.

The lath was split lengthwise, so that the notches were preserved, and put into circulation. One half of the slate was used for monetary transactions, and the other remained as proof that the money was not counterfeit. Such a currency has been preserved in the Bank of England Museum, although it is quite large, since it corresponds to 25 thousand pounds.

After some relaxation of the laws under Henry VIII, money changers again began to play a leading role in the English economy. After Queen Mary came to power, problems reappeared due to stricter laws and punishments. Money changers began to hide silver and gold coins, which became the reason for the economic recession.

The situation changed radically when Elizabeth I ascended the throne. She already had complete control over the issue of coins. They began to be minted directly at the Royal Treasury. The government began to deal with monetary issues, which the people were dissatisfied with and which, in the end, became one of the reasons for the revolution in England.

Current status

Currently, the national currency in England is the pound sterling., which is equal to 100 pence. Coins are issued in denominations of 1, 2, 5, 10, 20, 25, 50 pence, as well as larger ones - 1, 2 and 5 pounds sterling. Banknotes are available in denominations of 5, 10, 20 and 50 pounds. One of the sides of the bill is occupied by the image of Elizabeth II, and the other by the image of another outstanding figure of England (including Charles Darwin, James Watt, Matthew Bolton, Adam Smith and others).

Certain territories of Britain (for example, Scotland or Northern Ireland) issue their own banknotes with a different design. Although all UK banks must accept them, in reality they are often refused.

Everything related to exchange rates of individual countries is relevant today. As for the exchange rate in the UK, it is floating or fluctuating. This means that the value of the pound sterling may fluctuate. These indicators depend on the situation on the foreign exchange market.

Name options

Sometimes misunderstandings arise due to the use of different terms for the same currency. Thus, in modern English, one word is often used - “pound”. In order to separate the pound in England from money with the same name in other countries, it is customary for official documents to use the full name of the currency - “pound sterling”. Stock traders use the term “sterling” in communication. Some also refer to the local currency as the "British Pound". All these concepts have a right to exist.

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