A significant amount of outdated currency in the United Kingdom has yet to be exchanged, with approximately £6.6 billion worth of old banknotes and coins still unreturned to the Bank of England and Royal Mint. Despite numerous public campaigns urging individuals and businesses to trade in outdated denominations, a large portion of these notes and coins remain in circulation—or forgotten entirely.
The graphic comprises former paper bills that have been substituted by more secure polymer versions, as well as round pound coins that ceased to be legal tender a few years ago. Recent statistics indicate that approximately £4.4 billion of the whole amount consists of old paper notes, whereas the additional £2.2 billion is in the form of obsolete £1 coins.
The transition to polymer banknotes began in 2016 with the introduction of the plastic £5 note, followed by new versions of the £10, £20, and £50 notes. The paper versions have been phased out due to durability concerns and the need to combat counterfeiting with more secure features. However, the paper notes have not completely disappeared from wallets, drawers, or even jars tucked away in people’s homes. Many individuals may not even realize that these notes are no longer legal tender for transactions.
Even though they are no longer accepted in stores or for ordinary transactions, the Bank of England has stated that all withdrawn notes remain exchangeable at their original value—either through mail or in person—without any time limit. The Bank also permits certain high-street banks and building societies to handle these exchanges; however, this varies by institution and depends on the individual’s account status with the bank.
A similar situation exists with the £1 coin. The Royal Mint replaced the original round pound in 2017 with a 12-sided version featuring enhanced security features. The older coins were formally demonetized in October of that year, yet millions remain unreturned. Although most major retailers and banks stopped accepting the round pound shortly after the deadline, the Royal Mint continues to accept them via specific deposit services.
The reasons for this vast sum of unreturned currency are varied. Some people may have held on to older notes or coins as souvenirs, while others may have unintentionally misplaced them. It’s also common for travelers and expatriates to retain small amounts of UK currency when living abroad, unaware that the notes or coins have since been withdrawn from use. In other cases, forgotten savings stored in piggy banks, safes, or drawers can go unnoticed for years.
The issue reflects a broader behavioral pattern among the public, where changes in currency design often lead to a lag in adoption. When new designs are introduced, many people don’t immediately rush to exchange the old versions, especially if the amounts involved are relatively small or stored away for long-term savings. Over time, these accumulated amounts become part of the larger total of unredeemed currency.
From a financial perspective, unreturned notes and coins can represent a liability on the central bank’s balance sheet. While the physical money is no longer in active circulation, the Bank of England and Royal Mint must still account for it until it is formally redeemed. In essence, the value of this unredeemed currency remains as a claim that could potentially be exercised by the public at any time.
For collectors, some of these older banknotes and coins may now hold value beyond their face amount. Rare editions or error prints—such as early polymer notes with printing anomalies or certain commemorative coins—can fetch higher prices in the numismatic market. However, for the vast majority of outdated currency still held by the public, the main value lies in their exchangeability rather than any collectible worth.
Both the Bank of England and Royal Mint keep urging the public to return or trade in old currency when discovered. This guarantees that people can recover the full face value of the money while also supporting a cleaner and more efficient currency system. Public awareness initiatives have featured online campaigns, details provided by financial institutions, and advice from consumer advocacy organizations.
For those in possession of old banknotes, the Bank of England offers a postal service allowing individuals to send in their notes with a completed application form. Exchanged amounts are typically refunded via cheque or bank transfer. Similarly, the Royal Mint provides information on how to return old £1 coins through deposit accounts or donation schemes.
Ultimately, the ongoing existence of old currency highlights the varied financial practices of the public and the lasting difficulty of updating a country’s cash infrastructure. With the rise of digital transactions and the decrease in tangible money usage, the dynamics of cash in circulation could hasten. Still, billions in obsolete coins and bills remain unutilized, silently awaiting exchange—assuming they are recalled.
