Pound Scots
From Free net encyclopedia
Pound Scots was the national unit of currency in the Kingdom of Scotland before the country entered into a political union and currency union with the Kingdom of England in 1707 (see Acts of Union 1707). It was introduced by David I on the model of English and French money, divided into 20 shillings each of 12 pence. The Scots currency was debased and, by the time of James III, the Pound Sterling was valued at four Pounds Scots. In 1707 the exchange rate was set at 12 Pounds Scots to the Pound Sterling. The Pound Scots, and the more common Merk of two thirds of a Pound Scots, continued to be used in Scotland as money of account for most of the 18th century.
Despite the Scottish Pound no longer being an independent currency, Scotland's three largest national clearing banks, the Royal Bank of Scotland, the Bank of Scotland and the Clydesdale Bank, still print paper Pound Sterling notes for domestic circulation within the United Kingdom, although in practice they are little seen outside Scotland. Scotland also has the unusual situation whereby paper banknotes, of Scottish or English provenance, are not legal tender in Scotland. Individual banks issue 'promissory notes' — essentially cheques made out from the bank to 'the bearer', as the wording on each note says.