The ArgusNew £1 coin could be costly for Sussex (From The Argus)

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New £1 coin could be costly for Sussex

The Argus: New £1 coin could be costly for Sussex New £1 coin could be costly for Sussex

The introduction of a new 12-sided £1 coin to counter international forgers could end up costing local authorities in Sussex hundreds of thousands of pounds.

Chancellor George Osborne’s pre-budget announcement to introduce the new coin by 2017 followed moves by a Dutch smuggling ring to flood the UK with £30 million in fake currency.

But the new coin will mean councils will have to recalibrate hundreds of parking meters across the county to accept the new currency.

The introduction of new 5p and 10p coins back in 2012 forced councils to make similar changes – and almost ended up costing Brighton and Hove City Council £350,000.

That’s how much the authority was quoted for the contract to change the city’s then 1,100 parking machines which the authority say now would have been paid for by motorists.

But instead of paying to adjust the machines, the council was able to adjust tariffs by rounding the tariff either up or down to minimise the use of the smaller coins and avoid the extra cost.

Councils admit they won’t know the full costs until more details of the new coins are released.

The new £1 coin will be similar to the existing £2 coin which has both gold and silver-coloured metals making it harder to counterfeit.

It is the same shape as the 12-sided threepenny or ‘thrupenny’ bit which was in circulation from 1937 until decimalisation in 1971.

A Brighton and Hove City Council spokesman said: “It’s too early to say because the exact composition of the coin is not yet known and, until it is, the company manufacturing the coin selectors won’t have manufactured the piece of kit needed.

“The other key factor is this change isn’t due until 2017 and with the full roll out of PaybyPhone due to be completed in May this year – which will include the ability to pay at PayPoint sites in shops around the city – it’s likely the number of machines on street will have been reduced.”

The spokesman added that motorists could avoid the issue of change altogether by paying for parking by mobile phone which since its introduction in September now accounts for around one in 11 of all transactions.

An East Sussex County Council spokeswoman said: “Until we have full details of the new coin, we will not know what changes are needed to our 350 parking machines.

“Changes to parking machines following the introduction of the new 10p and 5p coins two years ago cost the county council about £30,000.”

A West Sussex County Council spokesman said: “There will be a cost to upgrade the coin mechanisms to accept the new pound coin if and when the change happens.

“The older machines will be more expensive to upgrade than the newer ones but we will not be able to estimate a cost until the machine manufacturers have had a chance to test the new coinage.”

Comments (7)

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1:59pm Mon 7 Apr 14

pwlr1966 says...

The council still has not recalibrated parking meters in Brighton & Hove to take the "new" 10p which was introduced several years ago. What makes anyone think they will do it this time for the £1 #greenparty@wasteofs
pace
The council still has not recalibrated parking meters in Brighton & Hove to take the "new" 10p which was introduced several years ago. What makes anyone think they will do it this time for the £1 #greenparty@wasteofs pace pwlr1966
  • Score: 12

2:15pm Mon 7 Apr 14

Bob_The_Ferret says...

'Pay by phone' doesn't avoid the need to upgrade the machines to accept the current legal tender. Using the change of coinage as an excuse to remove machines to force pay by phone as the only method of payment will mean more people who cannot pay at all until the penalty charge arrives in the post.
'Pay by phone' doesn't avoid the need to upgrade the machines to accept the current legal tender. Using the change of coinage as an excuse to remove machines to force pay by phone as the only method of payment will mean more people who cannot pay at all until the penalty charge arrives in the post. Bob_The_Ferret
  • Score: 9

2:18pm Mon 7 Apr 14

the red head says...

Prepayment vouchers are a logical step. Advertising would be brisk for the reverse sides and would pay towards production costs. I suppose this is far too simple and low tech for the green council to consider. I wouldn't trust a pay by phone and I'm sure many elderly would struggle...
Prepayment vouchers are a logical step. Advertising would be brisk for the reverse sides and would pay towards production costs. I suppose this is far too simple and low tech for the green council to consider. I wouldn't trust a pay by phone and I'm sure many elderly would struggle... the red head
  • Score: 5

2:21pm Mon 7 Apr 14

Beethoven says...

Changing the £1 coin is an unnecessary expense that WE the customer will end up paying for , since every parking meter, vending machine etc will need changing.

I hear the reason, to reduce forgeries, but any savings will be more than lost to the economy in the costs.
Changing the £1 coin is an unnecessary expense that WE the customer will end up paying for , since every parking meter, vending machine etc will need changing. I hear the reason, to reduce forgeries, but any savings will be more than lost to the economy in the costs. Beethoven
  • Score: 0

2:34pm Mon 7 Apr 14

hursthill says...

The article is incorrect - :
The introduction of new coinage will not cost B & H council £350,000.
The additional cost will be passed on to motorists via higher parking charges.
The article is incorrect - : The introduction of new coinage will not cost B & H council £350,000. The additional cost will be passed on to motorists via higher parking charges. hursthill
  • Score: 15

3:29pm Mon 7 Apr 14

Gaz the great says...

Yes, there will be a cost to council's that have pay & display machines, however this problem will occur in anything where coins are used including supermarket self-service tills, gaming machines, ect. However, at one count I had over 40 £1.00 coins which were all fakes,bad for the ecomony & not good for my stress levels when trying to pay to park!
Yes, there will be a cost to council's that have pay & display machines, however this problem will occur in anything where coins are used including supermarket self-service tills, gaming machines, ect. However, at one count I had over 40 £1.00 coins which were all fakes,bad for the ecomony & not good for my stress levels when trying to pay to park! Gaz the great
  • Score: 7

9:06pm Mon 7 Apr 14

asbojim says...

are the idiots at B+H council going to buy me a mobile phone then, so i can pay for parking without using real money

and yes, i am saying i dont have a mobile phone
are the idiots at B+H council going to buy me a mobile phone then, so i can pay for parking without using real money and yes, i am saying i dont have a mobile phone asbojim
  • Score: 5

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