Shopkeepers braced for weekend of chaos over old £1

14 Oct

A spokesman at the Federation of Small Businesses, said: “There’s no obligation for any business to accept the old pounds after the deadline. Any businesses that continue to accept them are doing so voluntarily. While it is likely many will, it’s purely at their discretion.” 

Some 500 million old-style coins ones are still in circulation.

The Royal Mint and the Treasury are understood to have told businesses that they want a “clean break” from the round pound to avoid potential chaos being created by some shops continuing to accept them as payment. But thousands of stores including Tesco, Poundland and Iceland will defy the deadline and continue to accept the coins beyond the deadline.

 Rules coming into force on Oct 15 will prevent shops handing out old £1 coins as change and will give shops the right to refuse them as payment.

However, there is no rule preventing shops – which are able to bank old £1 coins long after this date – accepting the coins beyond the end of this week.

The 12-sided £1 coin came into circulation in March as part of the Mint’s efforts to cut back on counterfeits.A Treasury spokesman said: “The new pound coin was brought in to reduce the multimillion-pound cost to British business from counterfeits. Businesses told us they wanted certainty on a cut-off date, which is why we introduced the October 15 deadline.

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