Despite the withdrawal of paper banknotes and old-style coins, a staggering £6.6 billion remains unreturned in the UK. The Bank of England has revealed that 375 million paper notes are still in circulation — including 160 million £20 notes and 46 million £50 notes — despite being replaced by polymer versions with enhanced security features.
Paper £5 and £10 notes ceased to be legal tender in 2017 and 2018 respectively, with the £20 and £50 notes withdrawn in 2022. Yet millions persist in wallets, drawers, and savings tins across the country. Encouragingly, £600 million worth of paper currency has been returned in the past year alone.
Coins also tell an interesting story. The Royal Mint reports that around 70 million round £1 coins remain outstanding, even though they were demonetised in 2017. Over the past decade, millions of even older coins — including shillings, florins, and sixpences — have also been returned.
For accountants, this trend serves as a useful reminder: outdated cash can still be deposited or exchanged. The Bank of England assures the public that all genuine banknotes retain their value, with no expiry for exchange. Some banks and Post Office branches accept them, and they can also be posted to the Bank of England for replacement.
While digital payments continue to rise — especially following the pandemic — cash remains an important method of payment, accounting for 12% of all transactions in 2023. Businesses should be aware of lingering old tender in circulation and advise clients accordingly.
Whether stored for nostalgia or forgotten in a coat pocket, old money still holds real value. For businesses and individuals alike, it may be time to check those drawers — your hidden cash might be worth more than you think.