Sandy Macnair
writes to the Scotsman about his difficulty in spending Scottish banknotes in England. He complains that English shop staff are "often not aware that Scottish notes are legal tender." Well, Scottish notes
are not legal tender in England. Perhaps surprisingly, Scottish banknotes are
not legal tender in Scotland either! Not only that, Bank of England notes are not legal tender in Scotland:
Scottish bank notes are not legal tender in Scotland. English bank notes of denomination less than 5UKP were legal tender in Scotland under Currency and Bank Notes Act 1954. Now, with the removal of BoE 1UKP notes, only coins constitute legal tender in Scotland. English bank notes are only legal tender in England, Wales, The Channel Islands and the Isle of Man.
Today, in fact, no banknote whatsoever (including Bank of England notes!) qualifies for the term 'legal tender' north of the Border and the Scottish economy seems to manage without that legal protection.
I can confirm that Scottish businesses are very happy to accept both English and Scottish notes. Nevertheless, Mr Macnair is one of thousands of Scots frustrated by having our money rejected south of the border. The Chancellor, a Scot, should adopt one of these policies:
1. English and Scottish notes should be the sole legal tender in their respective countries.
2. English and Scottish notes should be legal tender in both countries.
3. No notes should be legal tender in either country - it works in Scotland.
4. The Bank of "England" should be renamed The Bank of the United Kingdom and only its notes would be legal tender in both England and Scotland.
5. Abolish central banking, fire the bureaucrats, let the private sector take over and may the best banks win.
Don't hold your breath.