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MickB

Future of 1p & 2p coins questioned.

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It is inviting comments on the mix of coins in circulation as consumers move to non-cash payments such as contactless and digital spending.

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The penny was originally minted from bronze, but since 1992 it has been minted in copper-plated steel due to the increasing price of metal. ... For example, in May 2006, the intrinsic metal value of a pre-1992 1p coin was about 1.5 pence.

Firstly the currency has been so devalued that even as a copper plated steel 1 penny coin is worthless and worth less than a steel disc.

Then we have a means to increasing prices - those who remember the switch the decimalisation will know it was a way to bring in price increases.  Then the 1/2p coin disappeared so no longer could prices go up in 1/2p increments.

So they want to take the 2p out of circulation. How can prices be other than 5p increments? Digitally there could be tiny fractions of a penny. Hey people look how good the Government cryptocurrency is. No longer will you have to face these 5p increments in price, you can return to increments of less than a penny. Think how much you will save. Cash will slow be phased out.

Could this be a backdoor way to start the move to getting rid of cash altogether? i realise i see the world in a different way to many but this is what they are saying.

They create a problem - no coins less than 5p.
People complain
So they provide the solution - a cashless society. Then you will need that chip implant.......we are moving that way, little by little but we are moving that way.

Edited by sixgun

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Surely the more smaller the denomination of coinage that is done away with then the higher price rises have to be, no such thing as a halfpenny any more so a penny is the minimum something can be hiked in price, if there is no such thing as a penny or a tuppence then 5p is the least something can be hiked as long as we are still using cash.

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2 minutes ago, Scuzzle said:

Surely the more smaller the denomination of coinage that is done away with then the higher price rises have to be, no such thing as a halfpenny any more so a penny is the minimum something can be hiked in price, if there is no such thing as a penny or a tuppence then 5p is the least something can be hiked as long as we are still using cash.

Yes this is the issue - prices for cash must go up in 5p increments. Now spread this over a grocery trolley of 100 items - that is £5. One and two pence aren't much but that in the same breath means prices can go up in small increments. There will be no prices like 99p as you could not pay 99p. There will be no 11p 12p 13p 14p 16p 17p 18p and 19p prices for example. There could be a dual system - more expensive for cash b/c the cash does not exist to pay the exact amount.

Do not think for one minute that the process behind this is innocent - it is as Orwellian as i make out. It is just as devious - no it will be more devious.

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This means a tin of economy beans, peas etc has to go up 5p, items that should only be raised a penny will now have this raised fivefold and is best nipped in the bud now as if it's allowed the 5p will be next in the firing line.

Edited by Scuzzle

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1 & 2c coins have been out of circulation here for some time. It hasn't led to any ripping off (well, no more than normal) or a change in prices directly due to this. Prices don't increase in 5c increments. We still have all the usual prices with the 99c on the end, or 1.12, 1.43 etc.

The only time it kicks in is at the tills. So if you are doing your weekly shop and it comes to €77.98 for say 40 items, it is rounded up 2c to €78. I have also had it rounded down when something has been say €77.97, i am charged €77.95.

The prices of individual items can still go up and down by 1c or 2c whatever, as normal. The overall effect of the removal of the coins only comes into play when totalled for your items together.

It works well.

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I sceptical about the rounding down occurring.   If that does happen, then its probably no big deal.  I wonder if the issue of them is not direct cost of production but having to re-mint because so many fall out of circulation.

 

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I'm all for contactless/digital spending. I rarely use cash for purchases.

I could go days or weeks without holding cash in my wallet if I think about it.

We should never get rid of cash but perhaps its usage may change?

Edit: I cannot think of the last time I used cash!

Edited by Roy

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I'm all for contactless/digital spending. I rarely use cash for purchases.
I could go days or weeks without holding cash in my wallet if I think about it.
We should never get rid of cash but perhaps its usage may change?
Edit: I cannot think of the last time I used cash!
I gave you some the other week remember haha. I like a balance of cash & card as I wouldn't really want my money all digital.

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3 hours ago, Scuzzle said:

This means a tin of economy beans, peas etc has to go up 5p, items that should only be raised a penny will now have this raised fivefold and is best nipped in the bud now as if it's allowed the 5p will be next in the firing line.

What if they add more beans to the tin, that would solve the problem...more beans for your buck!

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5 minutes ago, shawy2510 said:

I like a balance of cash & card as I wouldn't really want my money all digital.

This is the answer, but perhaps cash as everyday currency is over?

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We lost the penny in Canada in 2012, but things are still priced as if the penny was still there. If paying by credit/debit, then you pay the exact amount. If paying by cash then it is rounded to the closest 0c/5c.

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39 minutes ago, Xander said:

What if they add more beans to the tin, that would solve the problem...more beans for your buck!

I see where you are coming from, Snickers etc. are going to go up 5p but grow back to the size they used to be, I'm fine with that can't see any manufacturers abusing this.

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That means this generation truly wont know the physical everyday origins of loads of English phrases from here on in....wow, there is the turn of of an industrial sized wheel !

”spend a penny” penny for your thoughts” penny farthing bicycle etc....

 

I cant help but be reminded of the ancient greeks.....when they came to an amount that was too big for them to bother with or encompass as a concept, they just said, “a lot” lol...or as we now have it from their word, “a myriad.”

Are we getting there soon......we went from a billion to a quadrillion pretty quickly.

Edited by Oldun
spelling

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5 minutes ago, Oldun said:

That means this generation truly wont know the physical everyday origins of loads of English phrases from here on in....wow, there is the turn of of an industrial sized wheel !

”spend a penny” penny for your thoughts” penny farthing bicycle etc....

I used to spend many a penny, I could never get used to the greaseproof toilet paper though.

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Hold on there!...More importantly where are you getting your 'penny' mixtures from? The last time I saw anything close to sweets being a penny was about 10-15 years ago!

As far as I see it there are only three explications:

  • You're lying through your brilliantly white, none penny mixture chomping teeth
  • You live somewhere, where the world hasn't caught up yet...if so are Freddo's still 10p where you're from? *crosses fingers*
  • You're a time traveller  *crosses fingers on both hands*

On Topic: Throw away the physical 1/2p coins and just do with that Aussies do and only accept pennies via debit/credit transactions :)

Edited by creative

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The 99p store would be forced to change it's name. It couldn't be rounded off to a pound as Poundland already exists, so we'd all save money if they changed it to the 95p store :D

99p stores closed last year. Probably knew the demise of the 1 & 2p coins was on the way.

Edited by MickB

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