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Week #205 - Dumbfounding Decimal Denominations!

Started by Scott_Schechter,

21 posts in this topic

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Scott_Schechter

Scott_Schechter

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QUESTION

 

When the United Kingdom switched to a decimal currency in 1971 it issued a completely new series of coins, yet the obsolete shillings and florins circulated for another several years. How was this possible?

 

 

Our first place winner will receive a copy of David Lange's book "The Complete Guide to Mercury Dimes" (signed). A prize will be given to a randomly selected participant with the correct answer.

 

REMINDER: The Numisma-Quest ends/ended on Saturday at midnight EST. Entries after that time will not be valid. See the Trivia Info post for more details.

 

When you post your answer, only the administrators can see it. Stop back this Tuesday. We will make all the posts visible and announce the winners.

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Peace_Fan

Peace_Fan

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In 1971 the United Kingdom finally converted to decimal currency on February 15th, having made a shaky start in 1848 / 1849 with the issue of florins which were one tenth of a pound. Pre-dating the 1971 conversion date, fivepences and tenpences had been issued since 1968 as these were direct replacements for the shilling and florin and of identical diameters and specifications. These two old denominations continued in circulation for many years after decimalisation, until both denominations were downsized.

 

Until 1982, all decimal coins showed their value as "...new pence" to distinguish them from old pence. Sadly this led to "pence" in speech being abbreviated to an inelegant "pea", or perhaps the even less elegant "pee", and this still persists now. It seems strange that a decimal currency should include a half penny or cent, but it was presumably easier, perhaps politically, to keep the pound intact, otherwise we would have needed to have "new pounds" or possibly dollars. The halfpenny was politically necessary to counter criticism that decimalisation would increase prices, and even then, the new halfpenny was worth 2.4 times the value of the old halfpenny. In the actual event, prices did rise after decimalisation, and although this may have simply been inflation, many people at the time, and even now, blame decimalisation for increased prices.

 

In 1982, all new decimal coins dropped the word "new" from their stated values, and the halfpenny sirvived this change. Because of inflation, the value of the halfpenny had fallen sufficiently by 1985 for it to be discontinued, and its last date of production was 1984. British halfpennies had been in production for almost 1100 years. Quite a long history for such a small coin.

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Oldtrader3

Oldtrader3

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Because the British mint did not change the value of the Pound, which made decimal coins and shillings etc. all different fractions of the same Pound denomination.

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koincollector

koincollector

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This one I know.. smile.gif The shilling was 1/20th of a pound, and a florin is worth 2 shillings, i.e. 1/10 of a pound. Under the old system when 1 pound = 240 pence, the shilling and florin were worth 12 and 24 pence respectively. Under the new system 1 pound = 100 pence (new) and the shilling and florin could still be used as the new 5p and 10p coins.

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cybersharque-migration

cybersharque-migration

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When decimilisation became law, the old shilling simply circulated as 5p(new). There were 20 shillings to the pound before the change, and 20 5p to the pound after the change, so the coins were identical in value. Likewise, the florin circulated at 10p(new). Then in 1992, Her Majesty's government demonetised the old coinage and downsized the decimal coinage to its present size.

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jtryka

jtryka

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I think we answered this before, so I will put my same answer:

 

Because they fit in easily with the new decimal system, as a florin was a tenth of a pound (or 2 shillings) which was equal to 10 new pence and a shilling was a twentieth of a pound, or 5 new pence. The other coins would have been odd denominations in the new decimal system.

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Grumps

Grumps

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The introduction of decimalization in 1971 produced much confusion and anomalies. Dual pricing was allowed in order for people to adjust to the new coinage.

 

Greg

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Elbesaar

Elbesaar

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Because when they changed over to decimal coinage, these two denominations converted easily into the new system. The shilling, was worth 1/12 of a Pound and when converted into the new system was worth 20 cents or 1/12 of a Pound. Same reason for the Florin, just a different amount/ percentage.

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truthteller

truthteller

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The new decimal coinage was issued in the same size and weight as the shilling based counterparts.

IE: one penny size and weight = one new pence size and weight

 

 

TRUTH

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mark

mark

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The (old) shilling was exactly equal to 5 (new) pence and the (old) florin was exactly equal to 10 pence. So these coins circulated as the equivalent of 5P and 10P coins.

 

Mark

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Scott_Schechter

Scott_Schechter

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QUESTION:

 

When the United Kingdom switched to a decimal currency in 1971 it issued a completely new series of coins, yet the obsolete shillings and florins circulated for another several years. How was this possible?

 

ANSWER:

 

The shilling and florin were equal in value and size to the new 5 pence and 10 pence coins, respectively.

 

 

Congratulations to this week's winners, RWW and Peace_Fan. Both will receive Dave Lange's book "The Complete Guide to Mercury Dimes." Remember to check in on Friday afternoon for another question and more great prizes.

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