New £1 coin arriving soon – are you ready?

The new £1 coin will enter circulation in the UK on 28th March – is your business ready?

 
The current £1 coin is being replaced for the first time in over thirty years because of its vulnerability to sophisticated counterfeiters.

Approximately one in thirty £1 coins in circulation is a counterfeit.

All businesses which handle cash will need to prepare for the:

  • introduction of the new £1 coin;
  • co-circulation period, when the new £1 coin and the old £ coin are in circulation at the same time; and
  • demonetisation, when the current £1 coin is no longer legal tender.

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These are the time scales that have been set and worth noting that the round £1 coin will end circulation in October!

October 2016 – 28th March 2017: Preparing for the new £1 coin

  • check whether you operate equipment that handles the £1 coin.
  • contact your equipment supplier to find out if you need adaptations or replacements and by when.
  • make the changes to your coin handling equipment.
  • train your staff on the features of the new £1 coin.
  • consider any changes to your cash handling processes e.g. counting, storing and banking during the co-circulation period.

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28th March – 15th October 2017: Co-circulation period

  • you can accept both coins from your customers.
  • your equipment may be able to accept or dispense both £1 coins or just one. Please check with your equipment suppliers.
  • you will need to tell your customers which coins your equipment can accept.
  • you should make arrangements with your bank or cash in transit (CIT) provider to return the current £1 coin and new £1 coin in separate packaging.

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16 October 2017: Demonetisation

  • all your coin handling equipment should be able to accept the new £1 coin.
  • you are under no obligation to accept the round £1 coin from your customers and you should not distribute the round £1 coin.
  • the round £1 coin can continue to be deposited into a customer’s account at most high street banks and the Post Office*
    *check with your bank for more details, including deposit limits.
     
    Please note: Image is from www.bbc.co.uk