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As the fourth most traded currency, the British Pound is the third most held reserve currency in the world. Importance of the British Pound The British Pound is the oldest currency still in use today, as well as one of the most commonly converted currencies.
Early Currency in Britain With its origins dating back to the year , the Pound Sterling was first introduced as the silver penny, which spread across the Anglo-Saxon kingdoms.
In , the design was changed and rather than pure silver the new coins were struck from Silver pennies were the sole coinage used in England until the shilling was introduced in and the pound, two years later, in British Pound Notes and the Gold Standard The first paper notes were introduced in , with their legal basis being switched from silver to gold.
The Bank of England, one of the first central banks in the world, was established a year later, in All Sterling notes were handwritten until , when the bank began to print whole notes.
In the early 20th century, more countries began to tie their currencies to gold. A gold standard was created, which allowed conversion between different countries' currencies and revolutionized trading and the international economy.
Great Britain officially adopted the gold standard in , though it had been using the system since The strength of the Sterling that came with the gold standard led to a period of major economic growth in Britain until The countries that used the Pound became to be known as the Sterling Area and the Pound grew to be globally popular, held as a reserve currency in many central banks.
However, as the British economy started to decline the US Dollar grew in dominance. When the British Pound was decimalized and began to float freely in the market, in , the Sterling Area was terminated.
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The motion thread also appears bright green. The numbers and letters in the vertical serial number are all the same height and colour.
The horizontal serial number is multi-coloured and increases in height from left to right. The printed lines and colours on the note are sharp, clear and free from smudges or blurred edges.
This is visible with a magnifying glass. There is a fully embedded metallic thread in the note. It appears as a continuous dark line when you hold the note up to a light.
Tilt the note up and down or side to side. When you tilt the note up and down or side to side, the images on the green motion thread move and flip between a pound symbol and the number Hold the note up to the light.
The note is printed on special paper that gives it a unique feel. On the front of the note, you can feel raised print.
Under a good quality ultra-violet light, the number '50' appears in bright red and green on the front of the note, against a duller background.
You can see bright red and green flecks on both the front and back of the note. If you use a magnifying glass, you will see the value of the note written in small letters and numbers below the Queen's portrait.
Coloured shapes are printed on the front and back of the note, below the signature of the Chief Cashier.
A unique serial number is printed horizontally and vertically on the back of the note. The horizontal number is in the bottom right corner.
It is made up of multi-coloured letters and numbers, which increase in height from left to right. The vertical number runs down the left-hand side and the numbers and letters are the same height and colour.
Boulton was an entrepreneur, while Watt was an engineer and scientist who made revolutionary changes to the efficiency of the steam engine.
In , the two formed a partnership to develop and market steam engines, and the designs were taken up worldwide.
The metric unit of power is named after James Watt. There is an image of the Soho Manufactory in the background - a factory used mainly to build machinery.
The design was taken from a drawing produced in They were on display at the Thinktank Birmingham Science Museum.
Many banks will accept withdrawn notes as deposits from customers. The Post Office may also accept withdrawn notes as a deposit into any bank account you can access at the Post Office.