GBP/PLN exchange rates

British pound – currency history

Pound sterling, also known as the British pound, is the oldest among the currently existing currencies in the world. The pound was introduced in 1158 by King Henry II – then, 1 pound was worth 0.37 kg of silver. Exchangeability of pound to silver functioned until 1816, when it was replaced with gold. During the Great Crisis, in 1931, the relations between pound and gold were dissolved.

Pounds heyday was in the 19th century and the beginning of the 20th century. After World War II, pound lost its leading position – while the US dollar gained the advantage. In 1966, the pound’s value declined so much that the British government introduced limits, which did not allow to take more than 50 pounds abroad.

Another significant event in the history of the pound was the 1992 „breaking of the Bank of England” by a world-renowned investor George Soros, who conducted speculation aimed at lowering the pound’s exchange rate, which led to the withdrawal of pound sterling from the ERM system, whose purpose is to stabilise the exchange rates between the EEC countries.

British pound – information about the currency

Pounds sterling are issued by the Bank of England. Apart from the most popular pound sterling, there are also other official currencies that function on territories under the jurisdiction of the United Kingdom. And so, we have currencies such as Falkland pounds, Saint Helena pound or Gibraltar pounds.

1 pound is 100 pence – however, this conversion rate has been around only for a few decades. Until 1971, 1 pound was worth 20 shillings, i.e. 240 pence. Currently, British coins have the following denominations: 1, 2, 5, 10, 20 and 50 pence as well as 1 and 2 pounds. The banknotes have the following values: 5, 10, 20 and 50 pounds. North Ireland and Scotland additionally has also 100-pound notes.

The contemporary pound note shows the face of Queen Elizabeth II (on the averse, there is always the portrait of the currently reigning monarch). On the reverse, you can find important historical figures, such as Adam Smith or Charles Darwin.

Although, the pound’s purchasing power has changed over the centuries, its very name testifies to its value – sterling means „excellent, reliable”.