Bank of England £1,000,000 note facts for kids
| (United Kingdom) | |
|---|---|
| Value | £1,000,000 sterling |
| Width | 210 mm |
| Height | 148 mm |
| Security features | Requires the signature of the existing Chief Cashier at the Bank of England |
| Obverse | |
| Design | Britannia |
| Reverse | |
| Design | Blank |
The Bank of England £1,000,000 note, also known as the Giant, is a very special banknote. You won't find it in your wallet! It's not used by the public. Instead, the Bank of England uses these notes internally. They help to back up the value of banknotes printed in Scotland and Northern Ireland.
Contents
History of the Million Pound Notes
The Marshall Plan Notes
Nine £1 million notes were first created on 30 August 1948. They were part of something called the Marshall Plan. This plan was a big loan from the United States to help the United Kingdom after World War II. The notes were used for a short time to keep track of this large sum of money.
These special notes were cancelled on 6 October 1948. Most of them were likely destroyed. However, two of these original £1 million notes survived. They were "Number Seven" and "Number Eight" (with serial numbers 000007 and 000008). These two notes were given to important officials from the British and American treasuries.
Surviving Notes Today
Since 1977, these two notes have been owned by private collectors. In 2008, the "Number Eight" note was sold at an auction for £78,300. These notes are called "Treasury Notes." They were printed on Bank of England paper. Each note states that it "entitles the Bank of England to payment of one million pounds on demand." This payment would come from the UK government's main fund.
More recently, another similar note appeared. It was dated 8 September 2003 and had the serial number R016492. This note was signed by Andrew Turnbull, who was the Secretary to the Treasury at the time. It has also been cancelled.
How Treasury Notes Worked
Until 2006, the Bank of England issued these Treasury Notes. The UK government's finance department, called HM Treasury, managed its money using them. They made sure there were enough funds available.
Banks and other financial groups in London would bid for these notes. They would buy them at a slightly lower price than their face value. This difference in price was like an interest payment. The notes would mature, or be due for payment, in one, three, or six months.
Changes to the System
This old system was replaced by a computer system. The Debt Management Office, which is part of HM Treasury, now handles this. The last Treasury Notes were printed in September 2003.
These notes were often traded between banks. This meant they did move around, even though the Bank of England didn't track every trade. When a note matured, the Bank of England would pay its value to whoever held it.
A Notable Incident
Because these notes moved between banks, they could be stolen. On 2 May 1990, a messenger named John Goddard was robbed. He was carrying £292 million worth of Treasury bills and other financial papers. Most of these stolen items were later found and returned.
See also
