Consultation on the new £1 coin
Posted on in Business News
With a new pound coin set to be introduced in 2017, retailers could face disruption to their business.
As a result, in his 2014 budget, Chancellor George Osborne announced the launch of a new £1 coin in 2017.
The Royal Mint has produced a prototype for the replacement coin which utilises multiple layers of cutting edge technology to enable the UK to rapidly reduce the rate of fake coins entering general circulation.
A consultation is being held on how to manage any impacts before a final decision is made on the precise specification of the new coin. The Royal Mint will also work closely with key industry stakeholders to conduct a full consultation to understand the potential impact for industry.
ACS (the Association of Convenience Stores) have welcomed the opportunity to respond to the consultation on the specification of the new £1 coin. ACS represents 33,500 local shops across the country.
Cash transactions are an important part of any type of retailing, so changes to the design and specification of the £1 coin will therefore affect retailers across the country. ACS agrees that the introduction of a new £1 coin would have a positive impact on the quality of coins in circulation, given the high number and the ease of creating counterfeits. However, there are many problems that could arise from the decision to introduce a new coin.
ACS' submission to the consultation focuses on the costs that retailers will face thanks to the new coin, including the costs of training staff and upgrading of machines. They have called on the Treasury to provide a more comprehensive timetable and engagement plan for consulting with and providing information to retailers to ensure they are fully aware of the coin specification changes.
If you would like to share your view about the operational challenges faced by the introduction of a new £1 coin and what action you would like to see from Government to mitigate any disruption, please comment below or email info@actsmart.biz