Public Law 110-456 authorized the America the Beautiful Quarters Program, which will feature a series of rotating reverse designs on the quarter dollar representing a national park or site in each state, territory, and the District of Columbia. The same law also provides for the issuance of five ounce .999 fine silver bullion coins featuring duplicate designs of the quarters. The law indicates that these bullion coins will be issued in quantities that the Secretary of the Treasury determines are appropriate.

With regards to the period of availability, the law states:

Bullion coins minted under paragraph (1)—
‘‘(A) shall become available for sale no sooner than the first day of the calendar year in which the circulating quarter dollar of which such bullion coin is a duplicate is issued; and
‘‘(B) may only be available for sale during the year in which such circulating quarter dollar is issued.

The 2011 America the Beautiful Quarters were launched into circulation on January 24, 2011 (Gettysburg), April 4, 2011 (Glacier), June 13, 2011 (Olympic), August 29, 2011 (Vicksburg), and November 14, 2011 (Chickasaw).

Based on these release dates and in accordance with (A), each of the 2011-dated America the Beautiful Silver Bullion Coins could be released no sooner than January 1, 2011. The bullion coins actually went on sale to authorized purchasers on April 25, 2011 (Gettysburg and Glacier), May 23, 2011 (Olympic), June 20, 2011 (Vicksburg), and July 18, 2011 (Chickasaw).

The US Mint has interpreted (B) "may only be available for sale during the year in which such circulating quarter dollar is issued" to mean that the coins can be available for sale during any year in which the corresponding quarter dollar is issued.

Michael White of the United States Mint Office of Public Affairs provided this statement from the legal department:

Regarding the sale of 2011-dated ATB Silver Bullion coins in 2012, 31 U.S.C. § 5112(d)(1) in part states, “coins have an inscription of the year of minting or issuance.”  This means an ATBQ coin that is minted in, say, 2010, can be issued in 2011 (and, indeed, they were issued in 2011).  So when 31 U.S.C. § 5112(u)(2)(B) states, “may only be available for sale during the year in which such circulating quarter dollar is issued,” it means that the 2010 5-ounce silver bullion ATBQ coins can also be issued in 2011 (because 2011 is a “year in which such circulating quarter dollar [i.e., the 2010 ATBQ coin] is issued.”

Even if this is a valid interpretation, it is arguable that this was not truly the intention of the authorizing legislation. The United States Mint generally does have the authority to issue coins across multiple years, unless there is a specific requirement otherwise. The 2010-dated America the Beautiful Quarters have actually continued to be issued into 2012 within various numismatic products sold to collectors. The "issuance" of coins in this fashion can continue for many years into the future, making the sales limitation on bullion coins, as the US Mint is interpreting it, essentially meaningless.

The intention of the law was more likely to limit sales of the bullion coins to the initial year of issue for the corresponding quarter. Under this interpretation, the 2010-dated ATB Quarters regardless of year minted were initially issued in 2010 and the bullion coins could only be available for sale during the year 2010. In fact, the legislation states “may only be available for sale during the year in which the circulating quarter dollar is issued.” It does not say the years (plural) or provide any other indication that the limitation on sales should be so limitless.

The sales limitation specified under the law did not come into play for the release of the 2010-dated America the Beautiful Silver Bullion Coins. The US Mint was only able to produce 33,000 coins for each of the five designs, which were all made available to authorized purchasers in early December 2011. All 165,000 of the coins were sold to authorized purchasers by December 23, 2011.

For the 2011-dated coins, the US Mint had recorded sales of 397,700 coins by the end of the 2011 calendar year. During 2012, the US Mint has sold an additional 5,700 of the 2011-dated coins based on the latest available sales figures.

The US Mint has confirmed plans to offer both bullion and numismatic versions of the 2012 America the Beautiful Five Ounce Silver Coins in reduced quantities. Information on the releases dates is not yet known.

Related posts:

1. Slow Sales Continue for 2011 America the Beautiful Silver Bullion Coins
2. 2011 America the Beautiful Silver Bullion Coin Sales Slower
3. 2011 America the Beautiful Silver Bullion Coin Sales Reach 237,800

The US Mint began sales of numismatic bags and rolls of the El Yunque National Forest Quarter on February 3, 2012. This represented the eleventh release in the ongoing America the Beautiful Quarters Program, featuring national parks and sites from the 50 states, 5 U.S. territories, and the District of Columbia. Through the reporting date of February 6, 2012, the US Mint has recorded sales of 2,189 and 2,131 of the 100-coin bags from the Philadelphia and Denver Mint, respectively, and 15,542 of the two roll sets containing 40 coins from each mint.

Starting with this product release, the US Mint had significantly reduced the prices with the 100-coin bags priced at $34.95 compared to $49.95 in the prior year and the two roll sets priced at $32.95 compared to $39.95. So far, the price decreases have not resulted in stronger sales. The debut figures for the El Yunque Quarter 100-coin bags are down slightly from the debut figures for the previous Chickasaw Quarter bags. The number of two roll sets is down by about 12%. However, it should be noted that the debut figures for the present release include only three days worth of sales, while the debut numbers for the previous release covered seven days worth of sales.

For the week, the US Mint recorded sales of 14,286 of the 2011-W Uncirculated Silver Eagles. This is a big jump from the 4,455 coins sold in the previous week. Many collectors view the product as a relative bargain. Just before the start of the year, the US Mint reduced the price of the offering to $45.95 per coin. Since that date, the market price of silver has risen by more than $5 per ounce, while the product price has remained unchanged.

The complete US Mint numismatic product sales report appears below. The figures are compiled through February 6, 2012. The first number column represents total sales through the reporting date, and the second number column represents the change in sales since the last report. Products with sales followed by an asterisk (*) are no longer available from the United States Mint. Products listed in bold make their debut on this report. Currently available US Mint products can be found online at http://catalog.usmint.gov/

Related posts:

1. 2012 El Yunque National Forest Quarter Bags and Rolls Available
2. El Yunque National Forest Featured on Quarter
3. Sales Conclude Next Week for Certain US Mint Products

In my work as a numismatic writer and blogger, I often am asked to grade condition rarity via digital photography, without examining the item in my hand (apart from the keyboard). Usually I turn down such requests because my judgment may differ from that of a slabbing company, and then email complaints and demurs start to fly if my assessment differs.

Occasionally I will make exceptions, as I did for an auctioneer who specializes in excellent photography and who sells coins via the online portal Proxibid.

Recently the auctioneer emailed some photos of an 1884-S Morgan dollar, typically available for $100 or less in EF40 but that jumps in price as a condition rarity to $600+ in AU55 to $25,000 in MS62.

As such, this was an interesting case for me to take on when the auctioneer described the coin: "Here are some photos of the 84-S. Mirrored fields have some minor scratches; doesn't appeared to have been cleaned. Owner thinks it is MS60/62. It has some definite DMPL [deep mirror prooflike] qualities but sometimes that makes a coin look worse than it actually is. As you know an AU58 to MS60 is a big jump. Any input would be greatly appreciated."

Click on and expand the photos accompanying this post. You'll see in the first photo how I test for mint state. Many numismatists go for eagle breast feathers on the reverse, but my telling point is the hair above the ear on the obverse. That's how I can distinguish a slider (AU58, noticeable wear) from mint state (MS60 and above, little if any wear).

The hair here is inconclusive. It looks AU55-58. But this could be a weak strike. I'm leaning toward AU58, but it still can be MS60-61.

The next photo provides a straight-on shot of the obverse, and there are disturbing lines in different directions at various points in the fields, especially to the left of the profile. The coin may be cleaned. If not, it may be damaged in the cheek area or worse, tooled. I just can't tell from the photo.

I wrote the auctioneer, "Look with a loop to see if you discern uniform hairlines indicating tooling.I'm hoping those are album slide marks and not circulation marks or a poor attempt at altered surfaces."

The next photo shows mirrored fields. Such a coin's surface must reflect at least 4 inches away from newsprint to be designated deep mirror prooflike. This seems to show that. However, with top grading companies, the devices have to be frosted and distinct from the fields. This doesn't seem to have that quality.

Now go to the last photo here, a straight-on shot of the reverse.

The owner, who believes the coin to be MS60-62 DMPL, is typically looking on the bright side--literally. The left field is heavily marked, disqualifying the coin, unless the picture is faulty (I think not). The coin does have some deep-mirror properties (obverse field and devices, reverse fields--but not devices). There is too much noise for this to be DMPL, too. There's a chance of this being labeled proof-like, if the cheek isn't tooled.

If altered, the coin is a show piece for an album worth about $400 because of the mirrored fields.

My conclusion? There is too much noise on the obverse cheek and around the cheek to the extent that this will not slab at PCGS or NGC. Because 1884-S coins with this much going for it are exceedingly rare, there would be a better chance that this will slab at ANACS or ICG, although that is very doubtful as well. Slabbing by third- and bottom-tier companies is a telltale sign in numismatic circles that the coin didn't pass muster at first- and second-tier grading companies.

If sent to PCGS, whose standards I know best, my guess would be "Genuine, altered surfaces." At NGC, my guess would be "Improperly cleaned, AU55." But this is only as judged through a camera's lens. If analyzed with a loop in person, the coin may turn out to be low mint state, prooflike. Or worse: obviously doctored.

Here's what I proposed to the auctioneer: "Tell the owner that you need to send this to PCGS. It's worth the money to see how this will slab, if at all. Potentially, this coin may be a $400 or $7500 piece given the spread of those grades. I'd say chances are better than a lottery ticket."

The auctioneer liked that advice and is planning to submit the coin for grading. What is YOUR assessment?

Related posts:

1. Another New NGC Label “First Releases”
2. My Top 10 Morgan Dollar Varieties
3. Agreeing to Disagree on Grades

Commemorative coin programs are authorized by acts of Congress to celebrate and honor American peoples, places, events, or institutions. The authorizing legislation dictates the specific denominations to be issued, maximum mintage levels, design requirements, and period of issue. Legislation also typically requires that certain surcharges be added to the cost of each coin for later distribution to a recipient organization or project.

The United States Army Commemorative Coin Program included $5 gold coins, silver dollars, and clad composition half dollars. The surcharges included within the sales price s for the coins were $35 per gold coin, $10 per silver coin, and $5 per half dollar. Based on sales figures, the program generated estimated total surcharges of $3,055,735.00. The funds are directed to be paid to the Army Historical Foundation to help finance the National Museum of the United States Army.

The Medal of Honor Commemorative Coin program included $5 gold coins and silver dollars. The surcharges included within the sales prices of the coins were $35 per gold coin and $10 per silver dollar. Based on the sales figures, the program generated estimated total surcharges of $2,495,395. The funds are directed to be paid to the Congressional Medal of Honor Foundation to help finance the educational, scholarship and outreach programs.

Under the requirements of United States Code Title 31, Section 5134(f), the surcharges may only be distributed provided that all numismatic program costs have been recovered. Additionally, the recipient organization must demonstrate that they have raised funds from private sources in an amount equal to or greater than the funds generated from commemorative coin surcharges. If the matching funds are not raised within two years of the conclusion of commemorative coin sales, then the surcharges are deposited in the Treasury as miscellaneous receipts.

Related posts:

1. 2012 Star Spangled Banner Commemorative Coin Designs Announced
2. US Mint 2011 Commemorative Coin Sales Conclude Next Week
3. U.S. Mint Relists 2011 Gold Commemorative Coins at New Fixed Prices

People born between the dates of January 13, 2012 and February 9, 2013 are said to be born in the Year of the Dragon. The dragon is the only mythological creature included within the Chinese zodiac. People born in dragon years are said to be confident, enterprising, independent, self-assured, brave and passionate.

The 2012 Year of the Dragon Silver Coin released for the World Money Fair features a black dragon with red detailing. The color black is regarded as highly spiritual and has a significance and connection to the element of water. The reverse inscriptions include the Chinese character for dragon and "Year of the Dragon".

The obverse of the coin features the Ian Rank Broadley effigy of Queen Elizabeth II, along with the "2012" date, silver content, and legal tender face value.

The Perth Mint has previously released an assortment of Year of the Dragon gold and silver coins, including bullion versions in a range of different weights and numismatic versions including proof, gilded, gemstone, and colored editions. Previously released colored editions featured a red dragon and were limited to a mintage of 10,000 pieces, which quickly sold out.

The present release is limited to 5,000 and carries an order limit of one per customer. Each coin contains one ounce of 99.9% pure silver and comes in special coin show packaging with a numbered certificate of authenticity.

For further information and ordering, please visit the Perth Mint's product page.

Related posts:

1. Chinese Astrological Series 2012 Year of the Dragon Gold Coins
2. 2012 Year of the Dragon Gold Proof Colored Coins Available
3. Update on Australian 2012 Year of the Dragon Gold and Silver Coins

The Treasury Department recently implemented a suspension of production of Presidential Dollars for circulation. The move was announced by Vice President Biden and Treasury Secretary Timothy Geithner as part of the Administration’s Campaign to Cut Waste.

Federal Reserve Banks hold an estimated 1.4 billion dollar coins in surplus, and it was estimated that the amount would have grown to 2 billion if the Presidential Dollars had continued to be produced for circulation through the conclusion of the program in 2016. The Treasury Department indicated that the suspension would yield annual savings of $50 million over the next several years.

The group of Senators who introduced S. 2049 the Currency Optimization, Innovation, and National Savings Act (COINS Act), cited potential longer term savings from phasing out the $1 bill in favor of the $1 coin. Although the coins initially cost more to produce than bills, savings would be generated due the longer lifespan of the coins compared to bills. A recent GAO study was estimated that the savings would be $5.6 billion over 30 years.

A news release from the Senators noted that virtually every modern economy has made a similar transition to higher denomination coins. The release also stated that when the Canadian government switched the the $1 coin, the move generated savings at a rate ten times the initial projections.

The COINS Act introduced in the Senate is a companion bill to H.R. 2977 introduced in the House of Representatives on September 20, 2011. The House bill currently has 12 cosponsors and has been referred to the House Committee on Financial Services.

Related posts:

1. Senate Bill Seeks Baseball Hall of Fame Commemorative Coins
2. Senate Bill Seeks March of Dimes Commemorative Silver Dollars
3. Senate Bill Seeks Mark Twain Commemorative Coins

The month of January has traditionally been one of the strongest for US Mint bullion sales. This is driven by strong demand for the newly dated versions of the coins from collectors and dealers. The Mint began sales of the 2012 Gold and Silver Eagles on January 3, 2012. For the first time in several years, initial orders were not subject to allocation, as adequate supplies of coins were available to meet anticipated demand. Opening day orders reached 3,197,000 of the one ounce Silver Eagle bullion coins and 37,500 ounces worth of Gold Eagle bullion coins, across the four different sizes available.

For the full month of January 2012, Silver Eagle sales reached 6,107,000. This is significantly higher than sales levels for the prior two months when the Mint sold 1,384,000 coins in November and 2,009,000 coins in December 2011. Compared to the year ago period, the monthly sales total registers a small decline. In January 2011, sales reached a monthly record of 6,422,000.

For January 2012, Gold Eagle bullion sales included 84,500 one ounce coins, 49,000 half ounce coins, 38,000 quarter ounce coins, and 85,000 tenth ounce coins, representing a total of 127,000 ounces. Once again this was higher than the previous two months when the Mint sold 41,000 ounces worth of coins in November and 65,500 ounces worth of coins in December 2010. Compared to the year ago period, the sales total shows a slight decline. In January 2011, sales had reached 133,500 ounces.

The United States Mint distributes American Gold and Silver Eagle bullion coins through a network of authorized purchasers. These authorized purchasers may buy the coins in bulk quantities based on the market price of the precious metals plus a fixed mark up of $2 per silver coin and a percentage mark up of 3%, 5%, 7%, and 9% for one ounce, half ounce, quarter ounce, and tenth ounce gold coins. The bullion coins are then resold to secondary dealers and/or the public.

Related posts:

1. American Platinum Eagle Bullion Coins May Return in 2012
2. Opening 2012 Gold and Silver Eagle Sales Top Prior Year Levels
3. 2012 Gold and Silver Eagle Bullion Coins

The United States Mint offers numismatic versions of the America the Beautiful Five Ounce Silver Coins, featuring a special finish created through a vapor blasting technique and the "P" mint mark. Mintages have been limited to 27,000 for the 2010-dated releases and 35,000 for the 2011-dated releases. Initially, the coins were priced at $279.95 each, but this was later reduced to $229.95 on October 7, 2011, and finally to $204.95 effective December 27, 2011. On the date of the last price decrease, the market price of silver was around $28 per ounce.

Despite an increase in the market price of silver by about $5 per ounce, the US Mint has continued sales at the lowest price level. More collectors seem to have taken notice of the fact. In the latest week, the US Mint sold 3,563 coins across the four available designs. This is up from 2,931 coins sold in the previous week.

The 2011-W Uncirculated Silver Eagle similarly had its price decreased effective December 27, 2011. Since that date, the one ounce coins with an uncirculated finish and the "W" mint mark have been priced at $45.95 each. In the latest week, collectors placed orders for 4,455 of the coins, up from 3,062 in the previous week.

Elsewhere in the sales report, the number of 2012 America the Beautiful Quarters Silver Proof Sets sold has quickly deflated. The product debuted two weeks ago with sales of 61,181. The following week sales registered at 8,048. For the current week, sales moved up by only 1,190.

The complete US Mint numismatic product sales report appears below. The figures are compiled through January 30, 2012. The first number column represents total sales through the reporting date, and the second number column represents the change in sales since the last report. Products with sales followed by an asterisk (*) are no longer available from the United States Mint. Currently available US Mint products can be found online at http://catalog.usmint.gov/

Related posts:

1. Sales Conclude This Week for US Mint 2010 Annual Sets
2. US Mint Begins, Suspends Sales of 2011-P Gettysburg 5 oz Silver Uncirculated Coins
3. Vicksburg 5 Ounce Silver Bullion Sales Slower

A similar bill had been introduced in the House of Representatives on July 14, 2011. This previous bill has 296 cosponsors and passed in the House on October 26, 2011. It was received by the Senate, read twice, and referred to the Committee on Banking, Housing, and Urban Affairs.

The newly introduced bill S. 2036 National Baseball Hall of Fame Commemorative Coin Act was introduced by Sen. Kirsten Gillibrand of New York. It has four cosponsors and has also been referred to the Committee on Banking, Housing, and Urban Affairs.

Both of the bills seek to require the Secretary of the Treasury to mint and issue up to 50,000 $5 gold coins, up to 400,000 silver dollars, and up to 750,000 clad half dollars. The gold coins would have a composition of 90% gold and 10% alloy, diameter of 0.850 inches, and weight of 8.359 grams. The silver dollars would have a composition of 90% silver and 10% copper, diameter of 1.500 inches, and weight of 26.73 grams. The half dollars would have the same specifications as the clad half dollars previously struck for circulation.

The bills each have the interesting suggestion that the $5 gold coins and silver dollars should be produced so that the reverse of the coin is convex to closely resemble a baseball and the obverse is concave to provide a dramatic display of the design. The 2009 International Year of Astronomy coins issued by Monnaie de Paris were produced in this fashion.

The designs of the coins are broadly required to be emblematic of the game of baseball. A competition would be held to design the common obverse of the coins, with compensation of not less than $5,000 for the winner. The expert jury judging the competition would be chaired by the Secretary of the Treasury and three members each from the Citizens Coinage Advisory Committee and the Commission of Fine Arts. The common reverse design of the coins would depict a baseball similar to those used by Major League Baseball.

The Baseball Hall of Fame Commemorative Coins may be issued during the one year period beginning January 1, 2015. They would be available in both proof and uncirculated qualities.

Surcharges added to the cost of each coin would be distributed to the National Baseball Hall of Fame to help finance its operations.

Related posts:

1. Senate Bill Seeks to Replace $1 Bills with $1 Coins
2. Senate Bill Seeks March of Dimes Commemorative Silver Dollars
3. Senate Bill Seeks Mark Twain Commemorative Coins

“I Promise to pay the Bearer on demand the Sum of …” those iconic words have been printed on British promissory notes and banknotes issued by the Bank of England since 1695. Established in 1694 by Royal Charter of King William III and Queen Mary II, these words are still taken seriously and the signature of the Chief Cashier which appears on every Bank of England banknote backs up this promise. That signature along with the text “For the Governor and Company of the Bank of England” also guarantees the validity and worth of these notes. To this day, all Bank of England banknotes issued by their authority are redeemable at their offices on Threadneedle Street.

On the 2^nd November 2011, the latest of those notes, the £50 denomination in the “F” series was placed into circulation with much media attention. It was the first time that two prominent persons would appear on the reverse as part of the overall design and only the third modern issue of this value since its withdrawal after the Second World War. On the occasion of the official release, I had the opportunity to discuss the new note with the Bank of England’s Chief Cashier, Chris Salmon who was appointed as Chief Cashier in April 2011 (actual title since 2004, Executive Director of Banking & Chief Cashier). He is the 31^st person to hold this position in the Bank’s 318 year history. The new £50 is the first to carry his signature (the other denominations will eventually follow) and since the introduction of the £20 denomination in the “F” series in 2007, the £50 note is the second note in what will eventually become a four note set.

I also had the chance during our conversation to touch on polymer notes and the option of a £100 note. It’s not likely that you will encounter one of these colorful notes in your daily lives outside of the UK, but if you do plan a visit  it would be to your benefit to familiarize yourself with the new look and state of the art security features of the £50 note including the clever motion thread application. The Bank’s latest issue continues to reassure the British public that their currency continues to be some of the safest banknotes in circulation world-wide.

Some collectors of British banknotes will be wondering about one specific question so I'll ask it on their behalf. What took so long for this latest note to be issued when it only took four years to issue all four denominations of the last series?

Chris Salmon, Photo credit: Michael Alexander

I think it's important to remember our objective, which is to maintain the physical integrity of the currency and we do that by making sure that our note designs remain up to date. In that respect, I'm very comfortable with the time frame between the launch of the £20 note in 2007 and with that of the £50 on November 2^nd (2011) and I think it fulfills that objective. The Bank of England just doesn't have the objective to launch a particular set of notes over a specific time frame—that isn't what we're seeking to do. If you think about the time when we launched the previous (E) series (issued from 1990 to 1994) and now, a number of things have changed since then. To begin with, it was easier then to launch a set of four notes closer together as the amount of notes in circulation was much smaller than it is today and the reach of cash-accepting technology was much less than it is now. We have to make sure that this technology can recognize the new designs, which adds further time to this process. If you go back further to the "D" series (issued from 1970 to 1981), which was in hindsight left in circulation a bit too long, the Bank needed to bring out a new set more quickly, which was also why the "E" series was completed as soon as it was.

Can you give a more concise time frame of when we can expect to see the next two denominations to complete the new “F” series?

Unfortunately, no. As I mentioned it's really not the Bank's overall objective to simply issue a series or set, it is to make sure we always have a set of notes in circulation which best supports our aims. We are actively thinking about the next note that we will issue and what security features it will include. We will reach that determination over a suitable time frame and when we reach it we will then make an announcement but I can't prejudge that yet.

As Chief Cashier, did you have any input in the design of the new Boulton/Watt note and if so, can you describe to our readers what it was?

The Chief Cashier does have an input on the design of a new banknote along with other stakeholders of the Bank, including the Governor, and the design team. I took up my post nine months ago when production had already started which meant that the final design had already been set, so I personally didn't have an input over the choice of design. But my predecessor, Andrew Bailey did have.

Are there any elements about the note which you particularly like? In a recent speech you mentioned the inclusion of the "motion thread" security feature, which is quite “state-of-the-art” as far as an added measure against counterfeiting is concerned.

I’ll answer that question in two ways.  First, I think the overall design which the new £50 note shares with the Adam Smith £20 designs, they “work well” as an overall banknote design. Specifically with the £50, I like the way the two personalities on the note come together. We are celebrating the collaboration between two people and how their work enhanced the value of each other—that's a novel feature of the note. In terms of the new security features and the motion thread you mentioned, that's a really important part of the note. It's a first for the Bank of England and although there is a "motion thread" on other notes around the world, ours is the first which has a switching motion that includes the pound sign and the numeral 50. As you can see when the note is moved from side to side it switches between these two images within the thread. This feature will enhance the security of the note and I hope the public will appreciate that in their currency.

Taking into consideration the current economic situation that the UK and many economies are facing at the moment, was there any thought of delaying the issue of this new note until the economic climate improved? Was it wise to issue the Bank of England's largest note value under these present circumstances?

No, we didn't consider delaying the issue of this note, I think that would have been quite wrong. Our job is to make sure that we have up-to-date notes in circulation and begin the process of introducing a new-style note and removing the existing style £50 note when we have developed the capability to do so.

There is a constant annual increase on the actual number of banknotes in circulation, but with the popularity of credit and debit cards, is this surprising to the Bank’s note supply section or is it due to specific conditions the public may not be aware of?

In very general terms, in recent years the value of all notes in circulation has increased in line with the increase in the economy. There has been a degree of boost to that growth rate in the past decade especially with the expansion of ATMs. Cash remains tremendously important... for instance, there were around 20 billion cash transactions last year representing £260 billion. That said, without doubt credit and debit cards have impacted how our cash is used. For example last year cash accounted for 60 per cent of all transactions, but if you go back to the figures for 2000 it was around 75 per cent. Nowadays, the majority of cash transactions involve amounts of £10 or less.

If I can focus attention on the smallest note in circulation here in the UK, there is a specific issue regarding the £5 denomination (US$7.75) I remember your predecessor mentioning to me four years ago that he had a stack of letters on his desk from the public commenting on the condition and quantity of £5 notes in circulation. Has this improved since the issue of the Adam Smith £20 note for instance?

At the risk of provoking a stack of letters such as those, I actually haven't received any letters regarding the condition of the £5 notes. I think that might be because the public know we are trying to address the problem by getting more £5 notes into circulation, which includes working with the major ATM networks but it’s too early to declare a success both in terms of the actual amount of £5 notes and their overall quality. We are taking the relevant steps to improve that situation which Andrew (Bailey) highlighted to you four years ago.

Staying with the £5 note, you have the chance here to clarify the Bank's position on polymer notes. There seems to be a world-wide trend to plastic banknotes certainly over the last ten years and there have been strong rumors about a £5 plastic Bank of England note. Is there a polymer note in the future for the British public?

Let me start by addressing the rumors and try to squash them. There are no plans to introduce a £5 polymer note contrary to previous stories in the media. At the same time, it's not something I would completely rule out forever and it would be wrong to do so. You're right, several countries have chosen to print polymer notes and I think it's incumbent on us within our general research and development program to look at both the merits and downsides which is something we're doing. We do this with a lot of banknote features and only a small number of features we look at in the research and development stage end up on our banknotes but as of today, there is no plan.

There are some who are for and against the introduction of a £100 denomination in England but the comparison is often made with Scotland and their £100 notes, which raises the question of why there isn't the same note value south of the Scottish border. Has the Bank of England arrived at a definite position for the issue of a £100 note specifically pertaining to the "F" series?

Again, it’s important to recognize that I cannot rule this out indefinitely.  But I am confident that the four denominations we already have in circulation are fit for purpose. Moreover when the majority of cash transactions as I mentioned earlier is less than £10, the case to introduce a larger denomination doesn’t seem to be there. Regarding our research and development program, contrasting your question on polymer, the development of a larger note is not something we’re looking at.

Lastly, aside from our interview, can you describe what else the Bank of England is doing to publicize the new £50 note to the public?

As you know, we're been trying to promote the note with a lot of interviews, TV, radio and a lot of printed information, not to mention all of the information available on our website. Between myself and Victoria Cleland (Head of the Note Security department) we've conducted over 20 interviews in the last two days of the launch of the note both national and regional.  Publications such as CoinUpdate.com also raise awareness internationally. We also have a dedicated education team who distribute information to around 70 trade associations and about 30 larger retailers & financial institutions around the country to raise awareness amongst their companies.

I hope ours was one of the more enjoyable interviews for you! As a dedicated banknote collector myself, I look forward to the next note in the latest series. Chris Salmon, Chief Cashier of the Bank of England, thank you very much for your time today on the occasion of the introduction of the new series “F” £50 note…

Thank you, it’s been a pleasure talking to you.

I would like to thank Ms. Rosey Jeffery and Ms. Sarah Morgan in the Bank of England Press office for their kind assistance and arranging my interview, it is greatly appreciated. In conjunction with the issue of the new note, the Bank of England Museum is hosting an exposition of the history of the £50 note which will include the very first series (Black & White notes) displayed to the most current note issued in 2011. The display will be open from the 24^th November to March 2012 and admission to the Museum is always free and definitely worth stopping by if you’re visiting London.

Chronology of Bank of England Banknotes

Since 1695, Bank of England promissory notes were issued as white paper notes. From 1795 and as an answer to a shortage of gold coin, standard banknote denominations of one, five, ten, twenty and fifty pound notes for circulation with higher values printed for transactions between banking institutions. They included intricate watermarking and in later years, a metal security thread and were issued by their offices in London and branches around the United Kingdom with these cities printed on the note. Hand signed by the chief cashier himself, the first notes were for odd amounts and also included the written name of the bearer. White notes were printed on one side only and were often uniform in size, the last notes issued measuring 212 / 133 mm (or 8.3 / 5.2 inches) These notes went almost unchanged in design until the introduction in 1928 of the first color notes using an engraved & offset printing process. The ten, twenty and fifty pound denominations were withdrawn from circulation after World War II and the last of the white £5 notes were issued by the Bank of England in 1955 and were replaced by the next color issue in 1957. A total of 21 post-war banknotes have been issued by the Bank of England consisting of six denominations, two of those values have since been withdrawn from general circulation.

“A” series Britannia seal issue

10 shillings (1928)
One pound (1928)

“B” series Helmeted Britannia issue

Five pounds (1957)

“C” series Royal portrait issue

10 shillings (1961)
One pound (1961)
Five pounds (1963)
Ten pounds (1964)

“D” series Pictorial issue

One pound (1978)
Five pounds (1971)
Ten pounds (1975)
Twenty pounds (1970)
Fifty pounds (1981)

“E” series Historical issue

Five pounds (1990)
Ten pounds (1992)
Twenty pounds (1991)
Fifty pounds (1994)

“E” series (revised reverse designs) Historical issue

Five pounds (2002)
Ten pounds (2000)
Twenty Pounds (1999)

“F” series 

Twenty Pounds (2007)
Fifty pounds (2011)

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2. New £50 Bank of England Note To Be Issued in November
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