British pound sterling: the history of appearance

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

The British pound sterling is the currency equal to 100 pence. The symbol chosen is the letter "£" (from the Latin word "libra"). International bank code - GBP.

The British pound is one of the world's oldest currencies. For the first time, it has been mentioned on British soil since 1666. In 1158, the sterling was appointed by King Henry as the national currency. It was called the pound in the second half of the 12th century, in honor of the English measure of weight. The name "sterling" comes from the Old English "stiere", which literally translates as "asterisk". Indeed, the first coins depicted symbols resembling stars. Since 1964, British pounds have been issued in paper banknotes.

Today, banks in different areas of the UK issue paper money with their own design, which should be accepted throughout the country. But in reality, this condition often does not work.

Great Britain has not switched to the universal European currency, which is the euro, leaving the traditional one for their country. Britishthe pound is one of the world's most valuable currencies.

Today there are denominations of 50, 20, 10 and 5 pounds. On one side of the banknote, the British Queen Elizabeth II is depicted, and on the other, various prominent personalities of the country.

In English, the word "pound" is used to designate the national currency, while in official documentation they use the full name so as not to confuse it with the currencies of the same name in other states.

The first paper banknotes in Britain were receipts, which were given to people by money changers for depositing gold. It was more convenient than constantly carrying metal items in your pocket. Thus, paper money became an alternative to gold. Soon, jewelers noticed that some citizens were returning to return the jewels deposited. Then they decided to increase the issuance of paper money, due to which, having precious metals in storage, they thought that no one would notice their deceit. The first banking operations were started. Money changers gave people loans, and they took a certain percentage for using them. At the same time, the loans issued were significantly larger than the amount of assets that were deposited.

This deception did not last long. In 1100, Henry I deprived the bankers of the right to create paper money and developed the monetary system himself, which lasted 726 years. Its essence was the introduction of polished wooden slats with notches on one side as a monetary unit. Such stickssplit along, so that the notches were preserved on two halves and put into circulation. Moreover, one part was kept by the king as proof of authenticity.

The history of the one British pound coin does not begin in 1983, when it was first issued in this denomination. It happened much earlier. The first British pound coin was minted in 1489. On one side, it depicted Henry VII, seated on the throne, on the other, a rose with the state emblem. It has become the world's most reliable monetary unit, and remains so to this day. The name was finally assigned to the monetary unit from the moment the Bank of England issued banknotes.