Friday, 8 August 2014

£1 Note Issued



Yesterday, the Halifax banks re-opened, and there was nothing in the nature of a panic.  At one bank a large crowd assembled, and formed into a queue, the explanation being that most of the early visitors were desirous of drawing out their holiday money.  In many cases, however, it will probably be placed on one side as a reserve in case of later need.  All the banks were busy but it is pleasing know that a large amount of the business was in paying in as well as drawing out.  The closing of the banks for four days caused tradespeople to accumulate more money than they care to keep on hand, and it was a relief to deposit it in the banks.  The issuing by the Government of the £1 and 10s. notes will be a big relief to the gold.  The notes were issued in London yesterday, and some were received by the Yorkshire Penny Bank from their head offices in London.  The Provincial banks will be supplied with them to-day or Monday.

The alteration from coins to paper money makes no difference.  The notes will be offered and accepted in payment, just the same as gold, and should be treated by the public with the same confidence.  Wages paid in paper will have exactly the same purchasing power as if paid in gold, and workers need have no hesitation in accepting them.  Postal orders are also legal tender.  The Government scheme is introduced for the benefit of the public whose duty it is to support the scheme and reserve the gold.

The new £1 notes are printed on small slips of paper 2½ in. by 5in.  They bear the following wording printed in Old English type:--
These notes are a legal tender for a payment of any amount issued by the Lords Commisioners of His Majesty's Treasury under authority of Act of Parliament.
                             (Sd.) JOHN BRADBURY,
                                         Secretary to the Treasury.
On the left-hand side they bear the King's portrait amid ornamentation encircled by the inscription “Georgius V., D.G. Britt. Omn Rex, F.D., Ind. Imp.”  The notes are printed on white paper, watermarked with the royal cipher.

We are informed that the Yorkshire Penny Bank have paid all the holiday and wage money in coin, and the public have willingly taken the new £1 notes issued by the Government.  The supply of notes sent down from the head office in London has been exhausted, and all payments were being made yesterday afternoon in cash.  Business is absolutely normal, and a most gratifying feature is that the deposits yesterday were almost equal to the withdrawals.  There is no reason for the public to have the slightest fear.

(The Halifax Courier, 8th August 1914)

(Image from the Bank of England's Withdrawn banknotes website)
[A 'small slip of paper'  doesn't seem very confidence-inspiring in comparison with a gold sovereign.  This first design was replaced in October 1914.  It was still printed only on one side, but was considerably larger.]

1 comment:

  1. Hang on, hang there hadn't been notes before?! What a change that must have been. I had wondered when notes were first used.