Banknotes of the British Armed Forces facts for kids
The British Armed Forces used their own special banknotes from 1946 to 1972. These notes were created to help manage money for soldiers serving overseas, especially after World War II.
After World War II ended in Europe in 1945, the major winning countries – France, the United Kingdom, the United States, and the Soviet Union – met at the Potsdam Conference. They decided to divide Germany into four areas, called occupation zones. The British area was looked after by the 21st Army Group, also known as the British Army of the Rhine (BAOR).
The job of these forces was huge. They had to help Germany recover, disarm its army, and feed its people. The BAOR worked like a country within a country, needing its own money system for the soldiers.
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Why Special Money Was Needed
A big problem quickly appeared. Goods meant for the soldiers were being sold on an illegal market to local people. These items were sold at very high prices, causing inflation (when prices go up a lot). This meant British taxpayers were losing millions of pounds.
Historically, soldiers serving overseas were paid in the local money of the country they were in. This was because if strong British money (pounds) circulated freely alongside weaker local money, it could make the local money almost worthless. This would cause prices to go way up, which is called severe inflation. Also, if British pounds were circulating in a war zone, enemies could use that money to help their own war efforts. The fact that British money was worth a lot and easy to send back to Britain made the black market even more appealing.
However, using local money was hard in war zones where there might not be a proper government. In these situations, military leaders would issue special "military currency." This money was given to soldiers at a set exchange rate and was declared legal tender (meaning it had to be accepted) in the occupied areas.
British Armed Forces Special Vouchers (BAFSV)
After a short time of planning, the first series of British Armed Forces Special Vouchers (BAFSV) was printed. Over 52 million vouchers, worth more than 10 million pounds, were made by Thomas De La Rue. They were officially issued on August 1, 1946.
However, people quickly found ways around the new system. The black market continued to thrive. By mid-1947, it was secretly decided to prepare a new series of vouchers. The plan was to release the new notes and then quickly make the old ones worthless. This would stop people from using illegally obtained first-series vouchers. This change happened on January 6, 1948, when the second series was released.
The Different Series of Notes
1st Issue (1946)
This first series of notes was issued in 1946. It didn't have any series number printed on it. The smallest value was 3 pence, and the highest was 1 Pound. A second edition was later made to replace these.
2nd Issue (1948)
This series was issued in 1948 and clearly said '2nd Series' on it. The smallest value was 3 pence, and the highest was 5 Pounds.
3rd Issue (1956)
The third series was printed in 1948 but wasn't used until 1956 during the Suez Crisis. This situation was quickly resolved, and the notes were taken out of circulation after about two months. The smallest value was 3 pence, and the highest was 1 Pound.
4th Issue (1962)
Discussions about a fourth series started in 1952. However, they weren't ordered until 1962, when the Cold War was heating up. The British War Office decided to design both a fourth and a fifth series. A new printer, Bradbury Wilkinson, was chosen. The fourth series was printed but never actually used.
5th Issue (1960s)
This series, from the 1960s, is very rare. Only a few sample notes and proofs (test prints) are known to exist. It seems this series was never fully printed.
6th Issue (1972)
The sixth series has '6th Series' written on one side of the banknote, above the value. It was released because the United Kingdom changed to decimal currency. This meant money was now based on units of ten, like 100 pence in a pound.
There were three values: five pence, ten pence, and fifty pence. They were called 'New Pence' to show they were part of the new decimal system, different from the old pre-decimal pence. Two companies printed these notes: Bradbury Wilkinson and Company and Thomas de la Rue and Company. The sixth series, along with the 1 and 5 pound notes from the second series, were used in Berlin until December 31, 1979, when they were finally taken out of circulation.
On February 14, 1991, the Ministry of Defence sold off about 17 million unused vouchers from the 2nd, 3rd, 4th, and 6th series to a group of money collectors.
NAAFI Canteen Issue
These were notes from the 1st Series that had a special mark printed over them. This mark showed they were only for use on ships of the Royal Navy. These notes are very popular with notaphilists (people who collect banknotes) and can be worth a lot of money.
'Pog' Token Issues
These small tokens were like change and were used by British troops in Afghanistan and Iraq. Most of them were in US cents. However, in 2006, a very small number were issued in euro cents at the HQ ISAF in Kabul, Afghanistan. These were only for use in Afghanistan. Later, they were rarely seen because most shops in the area accepted US dollars. The NAAFI (Navy, Army and Air Force Institutes) shops in the area did not accept British pounds.
These tokens are not yet listed in the well-known Krause Publications' Standard Catalog of World Paper Money, which is a guide for collectors.
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