Appeal for ATMs to Issue £5 Notes

by Gill Montia

Story link: Appeal for ATMs to Issue £5 Notes

Whilst speaking at a Mansion House dinner for bankers and city luminaries, the Bank of England’s Governor, Mervyn King, has put pressure on banks to distribute £5 notes from ATMs. Across the UK the pale turquoise notes are frequently found creased and grimy with use and with their image of Elizabeth Fry, the 19th century prison reformer, hardly visible.

Currently, the notes remain in circulation twice as long as notes of other denominations because they are not available from most cash machines. As a result the majority are noticeably soiled and scruffy. Vaults at the Bank of England contain £1 billion in £5 notes but High Street banks find it cheaper to stock their ATMS with £10 and £20 notes. The average withdrawal from an ATM is £100 and reintroducing the £5 note would mean increasing the number of times the machines have to be filled. This has not only cost issues but also heightens the risk of robbery.

The British Bankers Association has responded to the Governor’s comments by saying that it is happy to discuss the issue.