Pound sterling
Sterling (ISO code: GBP) is the currency of the United Kingdom and nine of its associated territories.[3] The pound (sign: £) is the main unit of sterling,[4] and the word pound is also used to refer to the British currency generally,[5] often qualified in international contexts as the British pound or the pound sterling.[4]
"GBP" redirects here. For other uses, see GBP (disambiguation).ISO 4217
GBP (numeric: 826)
0.01
pounds
£
$_$_$DEEZ_NUTS#1__answer--5DEEZ_NUTS$_$_$
penny
$_$_$DEEZ_NUTS#1__answer--7DEEZ_NUTS$_$_$
pence
$_$_$DEEZ_NUTS#1__answer--9DEEZ_NUTS$_$_$
p
$_$_$DEEZ_NUTS#1__answer--11DEEZ_NUTS$_$_$
c. 800
3.8% or 3.2%
Office for National Statistics, 17 April 2024[2]
Sterling is the world's oldest currency that is still in use and that has been in continuous use since its inception.[6] In 2022, it was the fourth most-traded currency in the foreign exchange market, after the United States dollar, the euro, and the Japanese yen.[7] Together with those three currencies and Renminbi, it forms the basket of currencies which calculate the value of IMF special drawing rights. As of late 2022, sterling is also the fourth most-held reserve currency in global reserves.[8]
The Bank of England is the central bank for sterling, issuing its own banknotes, and regulating issuance of banknotes by private banks in Scotland and Northern Ireland. Sterling banknotes issued by other jurisdictions are not regulated by the Bank of England; their governments guarantee convertibility at par. Historically, sterling was also used to varying degrees by the colonies and territories of the British Empire.
Crown Dependencies and British Overseas Territories
The currency of all the Crown Dependencies (Guernsey, Jersey, Isle of Man) and most British Overseas Territories (British Antarctic Territory;[38][39], Falkland Islands and South Georgia and the South Sandwich Islands; Gibraltar; Saint Helena, Ascension Island and Tristan da Cunha)[40] is either sterling or is pegged to sterling at par.
Some British Overseas Territories have a local currency that is pegged to the U.S. dollar or the New Zealand dollar. The Sovereign Base Areas of Akrotiri and Dhekelia (in Cyprus) use the euro.
Unit
Pounds
£
$_$_$DEEZ_NUTS#5__answer--3DEEZ_NUTS$_$_$
$_$_$DEEZ_NUTS#5__answer--5DEEZ_NUTS$_$_$
$_$_$DEEZ_NUTS#5__answer--8DEEZ_NUTS$_$_$
Shillings
Pence
$_$_$DEEZ_NUTS#5__answer--11DEEZ_NUTS$_$_$
s or /
d
$_$_$DEEZ_NUTS#5__answer--14DEEZ_NUTS$_$_$
- 1⁄4d
- 1⁄2d
- 1d
- 3d
- 6d
- 1/–
- 2/–
- 2/6
- 5/–
Subdivisions and other units
Decimal coinage
Since decimalisation on Decimal Day in 1971, the pound has been divided into 100 pence (denoted on coinage, until 1981, as "new pence"). The symbol for the penny is "p"; hence an amount such as 50p (£0.50) properly pronounced "fifty pence" is often pronounced "fifty pee" /fɪfti piː/. The old sign d was not reused for the new penny in order to avoid confusion between the two units. A decimal halfpenny (1/2p, worth 1.2 old pennies) was issued until 1984 but was withdrawn due to inflation.[41]
Monetary policy
As the central bank of the United Kingdom which has been delegated authority by the government, the Bank of England sets the monetary policy for the British pound by controlling the amount of money in circulation. It has a monopoly on the issuance of banknotes in England and Wales and regulates the amount of banknotes issued by seven authorized banks in Scotland and Northern Ireland.[134] HM Treasury has reserve powers to give orders to the committee "if they are required in the public interest and by extreme economic circumstances" but such orders must be endorsed by Parliament within 28 days.[135]
Unlike banknotes which have separate issuers in Scotland and Northern Ireland, all British coins are issued by the Royal Mint, an independent enterprise (wholly owned by the Treasury) which also mints coins for other countries.