Pound sterling: Difference between revisions
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'''Sterling''' |
This article is about '''Sterling''' or the '''Pound Sterling'', the [[currency]] of the [[United Kingdom]] and its dependencies. For details of notes and coins, see: |
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*[[British coinage]] |
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*[[British banknotes]] |
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The basic currency unit of Sterling is the [[pound (currency)|pound]]. Standard [[ISO 4217|ISO 4217 currency code]]: GBP. Sign: £ (from Latin ''libra'' = pound). £1 = 100 pence (p) (singular [[penny]]). Pre-1971 £1 = 20 [[shilling]]s (''s.''), 1 shilling = 12 pence (''d.''). |
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As a unit of currency, the term '''pound''' originates from the value of a Troy [[pound]] weight of high purity [[silver]]. |
As a unit of currency, the term '''pound''' originates from the value of a Troy [[pound]] weight of high purity [[silver]]. |
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In the UK, to distinguish the currency from the weight, and from other currencies, a pound is often referred to as a ''pound sterling'' or sometimes just ''sterling''. The [[sterling]] was originally an old English silver coin made of [[sterling silver]] and weighing 1.555 grams (1/240th of a troy pound). |
In the UK, to distinguish the currency from the weight, and from other currencies, a pound is often referred to as a ''pound sterling'' or sometimes just ''sterling''. The [[sterling]] was originally an old English silver coin made of [[sterling silver]] and weighing 1.555 grams (1/240th of a troy pound). |
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== On the value of British money... == |
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==Also see== |
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In 1999 the House of Commons Library published a [http://www.parliament.uk/commons/lib/research/rp99/rp99-020.pdf research paper] (PDF document) which included an index of the value of the Pound for each year between 1750 and 1998, where the value in 1974 was indexed at 100. Reading this document, one is struck by the fact that the value of the Pound remained remarkably constant for the whole of the period until the [[First World War]], allowing for inflationary fluctuations in wartime and with many periods when prices declined. The value of the index in 1750 was 5.0, increasing to a peak of 16.0 in 1813 before declining very soon after the end of the Napoleonic Wars to around 10.0 and remaining in the range 8.5 - 10.0 at the end of the nineteenth century. The index was 9.6 in 1914 and peaked at 24.8 in 1920, before declining again to 15.5 in 1933 and 1934 i.e prices were only about three times higher than they had been 180 years earlier. Inflation really kicked off during and after the [[Second World War]] - the index was 20.0 in 1940, 32.9 in 1950, 46.4 in 1960, 68.2 in 1970, 243.0 in 1980, 458.5 in 1990, and 592.3 in 1998. |
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*[[British coinage]] |
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*[[British banknotes]] |
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Revision as of 18:55, 17 July 2003
This article is about Sterling' or the Pound Sterling, the currency of the United Kingdom and its dependencies. For details of notes and coins, see:
The basic currency unit of Sterling is the pound. Standard ISO 4217 currency code: GBP. Sign: £ (from Latin libra = pound). £1 = 100 pence (p) (singular penny). Pre-1971 £1 = 20 shillings (s.), 1 shilling = 12 pence (d.).
As a unit of currency, the term pound originates from the value of a Troy pound weight of high purity silver.
In modern times the pound has become the basic unit of currency. Inflation has steadily eroded the value of currency. The basic unit was once the penny. Originally a silver penny of 1.555 grams (1/240 pound troy) had the purchasing power of slightly less than a modern "pound".
In the UK, to distinguish the currency from the weight, and from other currencies, a pound is often referred to as a pound sterling or sometimes just sterling. The sterling was originally an old English silver coin made of sterling silver and weighing 1.555 grams (1/240th of a troy pound).
On the value of British money...
In 1999 the House of Commons Library published a research paper (PDF document) which included an index of the value of the Pound for each year between 1750 and 1998, where the value in 1974 was indexed at 100. Reading this document, one is struck by the fact that the value of the Pound remained remarkably constant for the whole of the period until the First World War, allowing for inflationary fluctuations in wartime and with many periods when prices declined. The value of the index in 1750 was 5.0, increasing to a peak of 16.0 in 1813 before declining very soon after the end of the Napoleonic Wars to around 10.0 and remaining in the range 8.5 - 10.0 at the end of the nineteenth century. The index was 9.6 in 1914 and peaked at 24.8 in 1920, before declining again to 15.5 in 1933 and 1934 i.e prices were only about three times higher than they had been 180 years earlier. Inflation really kicked off during and after the Second World War - the index was 20.0 in 1940, 32.9 in 1950, 46.4 in 1960, 68.2 in 1970, 243.0 in 1980, 458.5 in 1990, and 592.3 in 1998.