British Money and Currency in London: Pounds and Coins Explained for Visitors
Learn how British pounds and coins work in London-what bills and coins to expect, where to get cash, how to use cards, and how to avoid common tourist money mistakes.
When you're in London, you're not just visiting a city—you're using British pounds, the official currency of the United Kingdom, also known as pound sterling (GBP). Also known as sterling, it's one of the oldest currencies still in use today, and it's not just paper and coins—it's part of how the city runs. From paying for a Tube ride to buying a pint in a pub, everything ties back to this system.
You won't find euros here, not even in tourist spots. Even if you see prices in dollars online, you pay in pounds. That’s why knowing how the currency works matters. The pound is divided into 100 pence, and coins come in 1p, 2p, 5p, 10p, 20p, 50p, £1, and £2. Notes are £5, £10, £20, and £50, though some places, especially in Scotland and Northern Ireland, print their own versions. Most shops accept all UK-issued notes, but smaller vendors might refuse £50 bills because they’re harder to break. ATMs are everywhere, but watch out for fees—some charge you just for using them, even if you’re with a UK bank. And if you’re exchanging cash, avoid airport kiosks. They’re convenient, but their rates are terrible. Head to a high street bank or a dedicated currency exchange like Travelex for better deals.
Card payments dominate in London. Contactless is the norm—even for small buys like coffee or a sandwich. You can tap your card or phone up to £100 without a PIN. But cash still has its place. Street markets, small cafes, and some older pubs only take cash. And if you're trying to save money, paying with cash helps you stick to a budget. The British pounds you carry are more than money—they’re your key to navigating the city like a local. Whether you’re grabbing dim sum in Chinatown, shopping for jewelry in Hatton Garden, or catching a show in the West End, knowing how to handle this currency saves you time, stress, and extra fees.
What you’ll find below are real guides from people who live here—tips on saving money, where to spend wisely, and how to make the most of every pound. From budget vegan meals under £5 to understanding transport refunds and hidden gems that don’t cost a fortune, these posts show you how the British pound shapes everyday life in London—not just as money, but as a tool for smarter, richer experiences.
Learn how British pounds and coins work in London-what bills and coins to expect, where to get cash, how to use cards, and how to avoid common tourist money mistakes.