Penny (British decimal coin)
United Kingdom | |
Value | £0.01 |
---|---|
Mass | 3.56 g |
Diameter | 20.3 mm |
Thickness | ( Royal Shield |
Designer | Matthew Dent |
Design date | 2008 |
The
The penny was originally minted from bronze, but since 1992 has been minted in copper-plated steel due to increasing copper prices.
There are an estimated 10.5 billion 1p coins in circulation as of 2016, with a total face value of around £105,000,000.
1p coins are legal tender only for amounts up to the sum of 20p when offered in repayment of a debt; however, the coin's legal tender status is not normally relevant for everyday transactions.
Etymology
The word penny is derived from the Old English word penig, which itself comes from the proto-Germanic *panninga.[3] The correct plural form for multiple penny coins is pennies (e.g. fifty pennies). The correct term for monetary amounts of pennies greater than one penny is pence (e.g. one pound and twenty pence).[4]
History
Prior to 1971, the United Kingdom had been using the pounds, shillings, and pence currency system. Decimalisation was announced by Chancellor James Callaghan on 1 March 1966; one pound would be subdivided into 100 pence, instead of 240 pence as previously was the case.[5]
This required new coins to be minted, to replace the pre-decimal ones.
The new 1p coins began production in December 1968 in the newly built Royal Mint facility in Llantrisant, South Wales. 1,521,666,250 1p coins were minted between 1968 and the end of 1971.[10] On 15 February 1971, the United Kingdom officially switched to a decimal currency and the new coins entered circulation.[11] The coins continue to be minted at this facility today.[12]
Metallic composition
The coin was originally minted in bronze (composition 97% copper, 2.5% zinc, 0.5% tin) between 1971 and September 1992. However, increasing world metal prices necessitated a change of composition. Since 1992, the coins are minted in steel and electroplated in copper, making them magnetic.[13] Rising world prices for copper had caused the metal value of the pre-1992 copper 1p coin to exceed 1p (for example, in May 2006, the intrinsic metal value of a pre-1992 1p coin was about 1.5 pence).[14] Melting coins is illegal in the United Kingdom and is punishable by a fine, or up to two years imprisonment.[15][16]
This article is part of a series on the |
History of the English penny |
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Obverse designs
To date, four different
Anticipation of a switch to a decimalised currency led to the commissioning of a new Royal Portrait by artist Arnold Machin, which was approved by the Queen in 1964.
Between 1985 and 1997 a portrait by
In 2014, the Royal Mint again held a competition to design a new portrait.[22] Designer Jody Clark won this competition, with a portrait of the Queen wearing the George IV State Diadem and the initials JC feature under the neck of the Queen.[13][19] The portrait was sketched without an official sitting, only using reference material for inspiration.[22]
Reverse designs
Despite no official government confirmation of a switch to decimalised currency, the Royal Mint began the design process for decimal coins in 1962. They invited the Royal Academy, the Royal Institute of British Architects, the Faculty of the Royal Designers for Industry and the Royal College of Art to nominate artists to design the hypothetical new coins. British sculptor Christopher Ironside won this competition, and his design was chosen to feature on the potential decimalised currency. His design for the 1p coin featured a Scottish theme, with a coin depicting a thistle above a Scottish flag inside a shield and a Scottish lion inside a shield.[23] However, Chancellor James Callaghan's announcement that the United Kingdom would decimalise its currency included an open competition to find the new designs. Over 80 artists and 900 different designs were submitted.[18] Ironside entered this competition with a further, different style of designs and won.[23][24]
![](http://upload.wikimedia.org/wikipedia/en/thumb/d/d6/British_one_penny_coin_1999_reverse.png/100px-British_one_penny_coin_1999_reverse.png)
The reverse of the coin, which was minted from 1971 to 2008, featured a crowned portcullis with chains (an adaptation of the Badge of Henry VII which is now the Badge of the Palace of Westminster), with the numeral "1" written below the portcullis, and either NEW PENNY (1971–1981) or ONE PENNY (1982–2008) above the portcullis.[13]
In August 2005 the
In October 2023 the King Charles III one penny coin was presented; the coin design features a hazel dormouse. [29][30]
Status
Speculation on withdrawal
The proposed withdrawal of the 1p coins has been subject of media speculation, such as in 2015 when the Chancellor of the Exchequer, George Osborne, proposed the withdrawal of the 1p coin. This was vetoed by Prime Minister David Cameron, because of the potential unpopularity with the public.[31]
In March 2018, the Government launched a consultation on the future of payments in the British economy. One question focused on the denominational mix of coins, including 'dormant' denominations.[32] This prompted speculation that the 1p and 2p coins could be withdrawn from circulation.[33][34] Analysis from staff at the Bank of England concluded that fears about the withdrawal were 'unfounded' and that there would be no significant impact on prices if copper coins were scrapped, noting the sharp decline in usage of copper coins. It is estimated that 60% of copper coins are only spent once, before being removed from the cash cycle, as they are saved or binned. Approximately 8% of 1p coins are estimated to be thrown away entirely, requiring the annual minting of new 1p and 2p coins with a face value of £500m to replace coins falling out of circulation.[35] Further, potential inflationary effects from the rounding of prices caused by scrapping the 1p would likely be minimal, given only 3% of payments by value are made in cash and card payments would continue to be made unrounded.[36]
There was concern raised by some charities and businesses over the scrapping of 1p coins. Charities feared that the number of donations made in collection pots would fall and some business models could be severely impacted, for example traditional seaside arcades.[37][38] However, in May 2019 Chancellor Phillip Hammond announced the outcome of a 2018 consultation, suggesting there were no plans to scrap copper coins and that he wanted the public to "have choice over how they spend their money".[39][40] No 1p coins were minted in 2018, as the Treasury said that there were already enough in circulation.[41][42]
Value
Since around 2002, the penny has had the lowest value in
Coin | Face value (fraction of £1) |
Withdrawn | 2023 equivalent purchasing power at withdrawal[44] |
---|---|---|---|
Half farthing | 1⁄1920 | 1869/1870 | 6.3p |
Farthing | 1⁄960 | 1960 | 3p |
Pre-decimal halfpenny | 1⁄480 | 1969 | 4.3p |
Pre-decimal penny | 1⁄240 | 1971 | 7.4p |
Decimal halfpenny | 1⁄200 | 1984 | 2p |
Mintages
Year | Number minted | Composition | Portrait | Reverse |
---|---|---|---|---|
1971 | 1,521,666,250 | Bronze | Machin | Ironside |
1972 | In proof sets only | |||
1973 | 280,196,000 | |||
1974 | 330,892,000 | |||
1975 | 221,604,000 | |||
1976 | 300,160,000 | |||
1977 | 285,430,000 | |||
1978 | 292,770,000 | |||
1979 | 459,000,000 | |||
1980 | 416,304,000 | |||
1981 | 301,800,000 | |||
1982 | 100,292,000 | |||
1983 | 243,002,000 | |||
1984 | 154,759,625 | |||
1985 | 200,605,245 | Maklouf | ||
1986 | 369,989,130 | |||
1987 | 499,946,000 | |||
1988 | 793,492,000 | |||
1989 | 658,142,000 | |||
1990 | 529,047,500 | |||
1991 | 206,457,600 | |||
1992 | 253,867,000 | Copper-plated steel | ||
1993 | 602,590,000 | |||
1994 | 843,834,000 | |||
1995 | 303,314,000 | |||
1996 | 723,840,060 | |||
1997 | 396,874,000 | |||
1998 | 739,770,000 | Rank-Broadley | ||
1999 | 891,392,000 | |||
2000 | 1,060,420,000 | |||
2001 | 928,698,000 | |||
2002 | 601,446,000 | |||
2003 | 539,436,000 | |||
2004 | 739,764,000 | |||
2005 | 536,318,000 | |||
2006 | 524,605,000 | |||
2007 | 548,002,000 | |||
2008 | 180,600,000 | |||
507,952,000 | Dent | |||
2009 | 556,412,800 | |||
2010 | 609,603,000 | |||
2011 | 431,004,000 | |||
2012 | 227,201,000 | |||
2013 | 260,800,000 | |||
2014 | 464,801,520 | |||
2015 | 154,600,000 | |||
2015 | 418,201,016 | Clark | ||
2016 | 368,482,000 | |||
2017 | 240,999,600 | |||
2018 | In proof sets only | |||
2019 | In proof sets only | |||
2020 | 88,071,910 | |||
2021 | 56,000,000 | |||
2022 | 30,000,000 |
Data taken from the Royal Mint mintage statistics.[10] The latest estimate from the Royal Mint of the total number of 1p coins in circulation was in March 2016 and there were an estimated 10.5 billion 1p coins in circulation, with a total face value of around £105,000,000.[41]
See also
References
- ^ "1p Coin". Royal Mint. 15 February 1971. Retrieved 9 August 2022.
- ^ "One Penny Coin". Royal Mint. Retrieved 2020-03-29.
- ^ "penny | Origin and meaning of penny by Online Etymology Dictionary". www.etymonline.com. Retrieved 2019-05-06.
- ^ "pence | Definition of pence in English by Lexico". Lexico English. Archived from the original on September 3, 2019. Retrieved 2019-09-03.
- ^ James Callaghan, Chancellor of the Exchequer (1 March 1966). "Economic Situation". Parliamentary Debates (Hansard). United Kingdom: House of Commons. col. 1120.
- ^ Freeman, Len (2011-02-05). "What's that in old money?". BBC News. Retrieved 2019-05-12.
- ^ "The Royal Mint and decimalisation | The Royal Mint". www.royalmint.com. Retrieved 2019-05-12.
- ^ "Coinage Act: Schedule 1", legislation.gov.uk, The National Archives, 1971-05-12, 1971 c. 24 (sch. 1)
- ^ "Currency Act: Section 1", legislation.gov.uk, The National Archives, 1983 c. 9 (s. 1)
- ^ a b "Mintage Figures". Royal Mint. Archived from the original on 28 August 2018. Retrieved 28 December 2015.
- ^ "All Change: Decimalisation". Royal Mint Museum. Archived from the original on 2019-08-31. Retrieved 2019-05-12.
- ^ "Making the coins in your pocket | The Royal Mint". www.royalmint.com. Retrieved 2019-05-06.
- ^ a b c d e f "One Penny Coin | The Royal Mint". www.royalmint.com. Retrieved 2019-05-05.
- ^ Your small fortune: 2p coins that could be worth 3p each, Telegraph, 12 May 2006
- ^ "Destroying Coinage | The Royal Mint". www.royalmint.com. Retrieved 2019-05-09.
- ^ "Coinage Act: Section 10", legislation.gov.uk, The National Archives, 1971 c. 24 (s. 10)
- ^ Clayton, Tony. "Decimal Coins of the UK – Bronze". Tony Clayton. Archived from the original on 2007-05-27. Retrieved 2006-05-24.
- ^ a b "All Change Decimalisation". Royal Mint Museum. Archived from the original on 2019-08-31. Retrieved 2019-05-12.
- ^ a b c d "The five portraits of Her Majesty The Queen". www.royalmint.com. Retrieved 2019-05-11.
- ^ "Coins to get new Queen's head". BBC News. 2014-11-06. Retrieved 2019-05-11.
- ^ "Royal Effigy". Ian Rank-Broadley. Retrieved 2019-05-11.
- ^ a b Ballinger, Lucy (2017-08-12). "Artist whose initials are in your pocket". BBC News. Retrieved 2019-05-11.
- ^ a b "The UK coins that were never made | The Royal Mint". www.royalmint.com. Retrieved 2019-05-12.
- ^ "Christopher Ironside's designs | The Royal Mint". www.royalmint.com. Retrieved 2019-05-12.
- ^ "Royal Mint seeks new coin designs", BBC News, 17 August 2005
- ^ "Royal Mint unveils new UK coins" Archived 2009-03-07 at the Wayback Machine, 2 April 2008
- ^ "Royal Mint unveils coin designs". BBC News. 2008-04-02. Retrieved 2019-05-05.
- ^ "In Pictures: UK coins unveiled". BBC News. 2008-04-02. Retrieved 2019-05-05.
- ^ BBC
- ^ The Royal Mint
- ISSN 0261-3077. Retrieved 2019-05-05.
- ^ HM Treasury (March 2018). "Cash and digital payments in the new economy: call for evidence" (PDF). gov.uk. Retrieved 5 May 2019.
- ^ Peachey, Kevin (2018-03-13). "Is this the end for 1p and 2p coins?". BBC News. Retrieved 2019-05-05.
- ISSN 0261-3077. Retrieved 2019-05-05.
- ISSN 0261-3077. Retrieved 2019-05-05.
- ^ Angeli, Marilena; Meaning, Jack (2018-08-22). "Price Impact of Removing the Penny". Bank Underground. Retrieved 2019-07-09.
- ^ "Why we probably won't stop spending pennies any time soon". ITV News. Retrieved 2019-09-07.
- ISSN 0956-1382. Retrieved 2019-09-07.
- ^ HM Treasury (3 May 2019). "Cash here to stay as government commits to protecting access". gov.uk. Retrieved 3 September 2019.
- ^ Peachey, Kevin (2019-05-03). "Future of 1p and 2p coins secured". BBC News. Retrieved 2019-05-05.
- ^ a b "No new 1p coins for first time in decades". BBC News. 2019-08-08. Retrieved 2019-09-03.
- ISSN 0261-3077. Retrieved 2019-09-07.
- ^ Reuben, Anthony (2019-06-01). "What is the least valuable British coin ever?". BBC News. Retrieved 2019-06-01.
- ^ UK Retail Price Index inflation figures are based on data from Clark, Gregory (2017). "The Annual RPI and Average Earnings for Britain, 1209 to Present (New Series)". MeasuringWorth. Retrieved May 7, 2024.
- ^ "1p One Penny Mintage Figures". www.royalmint.com. Retrieved 2023-09-02.