The missing £50 billion worth of banknotes

[Eldorado]

In July 2020, the number of notes in circulation reached a record high of 4.4 billion, with a monetary value of 76.5 billion pounds, up from 24 billion pounds in 2000.

But the National Audit Office said the Bank of England in 2018 estimated only about 20%–24% of the value of notes in circulation were being used or held for cash transactions, with UK households holding a further 5% as savings.

“Little is known about the remainder, worth approximately 50 billion pounds,” The National Audit Office, Britain’s independent public spending watchdog, said in a report.

Full monty at Reuters: Link

Edited September 18, 2020 by Eldorado

[L.A.T.1961]

The gig/black economy.

Reminds me I need to check under the bed. 

[SHaYap]

Everyone start digging the yard, then try the lawn... 

~

[Eldorado]

The Bank of England should be trying to track down £50bn of "missing" UK currency, a committee of MPs has said.

The cash is not used in transactions or held as savings, but may be overseas, tucked away in homes unreported or being used in the "shadow economy".

Full report at the BBC: Link

[itsnotoutthere]

3 hours ago, Eldorado said:

The Bank of England should be trying to track down £50bn of "missing" UK currency, a committee of MPs has said.

The cash is not used in transactions or held as savings, but may be overseas, tucked away in homes unreported or being used in the "shadow economy".

Full report at the BBC: Link

Sounds reasonable.

https://www.theguardian.com/society/2012/oct/23/child-benefit-payments-outside-uk

https://www.thesun.co.uk/news/10123884/1million-kids-in-romania-child-benefit/

https://www.google.com/url?sa=t&source=web&rct=j&url=https://www.dailymail.co.uk/news/article-2864952/My-14-000-benefits-helped-build-house-Romanian-migrant-boasts-handouts-UK-helped-construct-home-wife-children-homeland.html&ved=2ahUKEwio_ZHHmLTtAhUzUhUIHaUhCU0QFjAMegQIGBAI&usg=AOvVaw3-PbHOfTpw6J6NQuKYls8b

https://www.express.co.uk/news/uk/488813/Romanian-immigrant-I-want-to-make-40k-through-benefits-the-rest-I-ll-STEAL

Edited December 4, 2020 by itsnotoutthere

[Setton]

3 hours ago, itsnotoutthere said:

Sounds reasonable.

https://www.theguardian.com/society/2012/oct/23/child-benefit-payments-outside-uk

https://www.thesun.co.uk/news/10123884/1million-kids-in-romania-child-benefit/

https://www.google.com/url?sa=t&source=web&rct=j&url=https://www.dailymail.co.uk/news/article-2864952/My-14-000-benefits-helped-build-house-Romanian-migrant-boasts-handouts-UK-helped-construct-home-wife-children-homeland.html&ved=2ahUKEwio_ZHHmLTtAhUzUhUIHaUhCU0QFjAMegQIGBAI&usg=AOvVaw3-PbHOfTpw6J6NQuKYls8b

https://www.express.co.uk/news/uk/488813/Romanian-immigrant-I-want-to-make-40k-through-benefits-the-rest-I-ll-STEAL

We're talking about actual physical cash here. 

Why exactly do you think people would take British notes overseas where they can't spend them?

[quillius]

1 hour ago, Setton said:

We're talking about actual physical cash here. 

Why exactly do you think people would take British notes overseas where they can't spend them?

holidays and business.

will these figures include banks and foreign exchanges overseas? ie I travel to Spain and exchange my sterling notes for Euros locally to get a better rate?

Also in places like China, its common to transact in both Sterling and Dollars using cash.....

 

albeit I dont think either of the above would account for the difference suggested but would make some inroads

[Setton]

7 hours ago, quillius said:

holidays and business.

will these figures include banks and foreign exchanges overseas? ie I travel to Spain and exchange my sterling notes for Euros locally to get a better rate?

Then the notes wouldn't be missing, would they? 

They'd be held by the currency exchange.