The production and distribution of cash
| Audit Id | 1612517827333 |
|---|---|
| Title | The production and distribution of cash |
| Title in original language |
The production and distribution of cash English |
| Year | 2020 |
| Subject |
Auditing and Financial Management |
| Type |
Performance |
| Type of performance |
Performed by single SAI |
| Comments | For generations coins and notes have played a central role in society as the primary means of payment. Over £100 billion is spent in shops using coins and notes every year and until 2017 cash was the most frequently used payment method in the UK. The use of cash in transactions is, however, in decline: 10 years ago, cash was used in six out of 10 transactions, and last year it was less than three in 10. Forecasts have suggested that this might fall to one in 10 by 2028. A recent drop in the use of cash during the COVID-19 pandemic may accelerate that trend. The continuing reduction in the use of cash in transactions is putting pressure on the cash system. Many of the costs of cash production and distribution are fixed. Commercial operators have warned of pressures on their business models, which have previously depended on higher cash volumes to maintain the commercial attractiveness of their operations. Consumer organisations have raised concerns that reductions in the ability of people to access cash, and increasing costs to business of using cash, if not properly managed, may increase the risk of financial exclusion for sections of society dependent on cash. |
| Author |
United Kingdom |
| Materials |
Audit report English |
| Contact |
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