The Bank of England Promoting the good of the people of the United Kingdom by maintaining monetary and financial stability.

CRIME PREVENTION SERIES

Identifying Counterfeit Currency

The UK market for counterfeit currency

The UK market for counterfeit currency

The market for counterfeit currency has changed over the last ten years. High quality counterfeit paper can be produced very quickly by skilled printers using traditional offset lithographic methods. However, organised crime groups are also producing digitally printed fakes, using the latest technology and laser or inkjet printing techniques. Offset lithographic printing remains the more serious threat; notes are of a high quality and can be produced quickly.

It is likely that the introduction of polymer notes will reduce the ability of organised crime groups to mass produce counterfeits.

Organised criminals involved in currency counterfeiting often come together to operate as linked networks. While groups may produce their own unique fake banknotes, some will ‘finish’ (add the foil security features to) or distribute counterfeits from other groups. Circulating fake money is high risk, so large batches are broken down for distribution, usually by street-level criminals.

 

How many counterfeit banknotes are in circulation?

The vast majority of counterfeits are discovered before they go back into circulation, when retailers and the banking system are sorting them. A smaller number are detected by the public or retailers who hand them directly to the police, or when the police carry out search warrants. Counterfeits are typically removed from circulation quickly, often after a single use.

In the first half of 2023 typically less than 0.0031% of banknotes were counterfeit, that is less than 1 in 30,000 banknotes. Some 73,000 counterfeit Bank of England banknotes with a nominal face value of £1.5 million were taken out of circulation. At any one time, there is around 4.6 billion genuine banknotes in circulation, with a notional face value of £82 billion.

Counterfeiting has substantially reduced since 2019 as a result of a combination of factors such as the introduction of more robust polymer banknotes, the withdrawal of the older paper designs, successful police action on the sources and distribution of counterfeits and the general move to electronic payments.

The figures show the H1 2023 data, along with annual data since 2005. 

Online banknote training

The training highlights the security features on our notes, which you can use to check your notes are genuine.  We also offer advice and a short test to check your understanding. It takes approximately 30 minutes to complete.

Free banknote education materials

Watch our short film which covers the key security features on all our current banknotes:

The Bank of England banknotes.

There are four denominations of banknotes in circulation: £5, £10, £20 and £50.

All four denominations of notes are printed on polymer.

This film will run through a number of key security features found on all the notes. You should check these features to ensure notes are genuine.

There is a large see-through window. 

A portrait of the Queen is printed on the window with the numerical value of the note and the words ‘Bank of England’ printed twice around the edge.

A metallic image is positioned over the window.  

The foil is gold on the front of the £5 and £10 notes; gold and blue on the front of the £20 note; and gold and green on the front of the £50 note…The foil is silver on the back of all notes.

On the £20 and £50 notes there is a second, smaller window in the bottom corner of the note.

Below the main see-through window on the front of all the notes, there is a silver foil patch containing a hologram. When you tilt the note from side to side, the words change between the value of the note and ‘Pounds’.

A 3D image of the coronation crown appears above the main see-through window.  

On the back of the notes, directly behind the silver crown on the front, there is a metallic, foil patch.

The foil is green on the £5 note, copper on the £10 note, purple on the £20 note and red on the £50 note.

On the front of the notes, you can feel raised print.  For example, on the words ‘Bank of England’ and in the bottom right corner.

Under a good quality ultra-violet light, the numerical value appears in bright red and green on the front of the notes, against a duller background.

The Bank of England banknotes.

What do I do if I get a counterfeit banknote?

Counterfeit banknotes are rare and also worthless.

We cannot reimburse you for counterfeit banknotes. If you suspect that you have a counterfeit banknote, please take it to your nearest police station. The police should fill out an NCO-1 form and provide you with a receipt and incident number. The suspect notes will be sent to the National Crime Agency and if counterfeit to the Bank of England for further examination.

If there is insufficient information to pursue an investigation or the circumstances are not suspicious then please return the notes to the Bank of England using one of these forms.

If notes are being sent directly in the post to the Bank of England by you, then use the Individual form.

If notes are being sent via a cash centre or a business head office and then to the Bank of England, then use the Business form.

If you have information about someone making, selling or using counterfeit banknotes, please contact the police or phone Crimestoppers anonymously on 0800 555 111.

Counterfeiting directly funds organised crime. It hurts the UK economy by creating losses for businesses, which ultimately affects the cost of things that we buy. It also affects the pocket of anyone who receives a counterfeit note, as the notes are worthless. If you report counterfeiting to the police, you are helping with investigations and alerting them to a problem in their area. This means they can take action to protect your community.

Latest news on this threat

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Handling Counterfeit Currency

As a merchant of University of Washington, below are three examples of how to properly handle counterfeit currency:

  • Recognized at Point-Of-Sale (POS) Transaction

    • Avoid accepting the counterfeit currency
    • Provide explanation how the counterfeit was identified in a professional manner. Do not accuse as often people may not be aware of the counterfeit
  • Accepted at POS and Recognized at Reconciliation

    • Do not recirculate the counterfeit currency
    • Take bill to bank for reporting or follow instructions on US Currency Education Program website, click here
      • NOTE: The bank will not credit or exchange counterfeit bills
    • Subtract the amount from the daily sales
    • Contact local police if suspected fraud ring
  • Discovered at Bank

    • The bank will debit the counterfeit currency from the deposit
    • If made in person, bank will request for the depositor to initial the correction
    • Banks are required to keep the counterfeit currency

Counterfeiting laws

Manufacturing counterfeit currency of the Republic of Korea or altering genuine currency is violation of「Criminal Act (Article 207)」 and is punishable by imprisonment not less than five years.

Crimes of Counterfeiting Currency

Criminal Act Article 207 (Crimes of Counterfeiting Currency)

  1. 1) A person who, for the purpose of uttering, counterfeits or alters a current coin, paper money, or bank note of the Republic of Korea shall be punished by imprisonment for life or not less than two years.
  2. 2) A person who, for the purpose of uttering, counterfeits or alters a foreign coin, paper money or bank note which is currently in use in this country shall be punished by limited imprisonment for not less than one year.
  3. 3) A person who, for the purpose of uttering, counterfeits or alters a foreign coin, paper money or bank note which is currently in use in a foreign country shall be punished by imprisonment for not more than ten years.
  4. 4) A person who utters a counterfeited or altered currency as referred to in the preceding three paragraphs, or who, for the purpose of uttering, imports or exports same shall be punished by penalty as prescribed against each crime of counterfeit or alteration.

Act on the Aggravated Punishment, etc. of Specific Crimes Article 10 (Aggravated Punishment of Currency Forgery)

Any person who commits a crime as prescribed in Article 207 of the Criminal Act shall be punished by capital punishment, imprisonment for life or not less than five years.

Acquisition of Counterfeited Currency

Criminal Act Article 208 (Acquisition of Counterfeited Currency)

A person who, for the purpose of uttering, acquires counterfeited or altered currency specified in Article 207 shall be punished by imprisonment for not more than five years or a fine exceeding fifteen million won.

Circulation of Currency Known to be Counterfeited

Criminal Act Article 210 (Circulation of Currency Known to be Counterfeited)

A person who, after obtaining the currency specified in Article 207, utters the same, knowing it to be counterfeited or altered, shall be punished by imprisonment for not more than two years or by a fine not exceeding five million won.

Manufacture of Articles Similar to Currency

Criminal Act Article 211 (Manufacture of Articles Similar to Currency)

  1. 1) A person who, for the purpose of sale, manufactures, imports, or exports of articles similar to a coin, paper money, or bank note which is current or circulated in this country or abroad, shall be punished by imprisonment for not more than three years or by a fine not exceeding seven million won.
  2. 2) The preceding paragraph shall apply to a person who sells items specified in the preceding paragraph.

We have been providing tools and guidance on fighting currency counterfeiting for nearly a century.

Our unique and historic role

One of the original mandates behind the creation of INTERPOL was the suppression of international currency counterfeiting; a role that was enshrined in the Geneva Convention of 1929. This reflects the importance of combatting counterfeit currency which reduces the value of genuine currency, leads to inflation and potentially destabilises our economic system.

Today, criminals have relatively easy access to the technology, equipment and know-how required for counterfeiting. It is a lucrative business which is often used to finance illegal activities such as trafficking in human beings and drugs, and even terrorism.

While the techniques of counterfeiting have become more sophisticated, so too have the tools and services that we provide to our member countries. These include technical databases, forensic support, training and operational assistance.

Online tools and services

The sharing of data among countries and the financial sector is essential in order to combat the counterfeiting and distribution of currency. We facilitate the exchange of information on operational matters, such as the seizure of counterfeit notes and the closure of illegal print shops.

We also provide training to equip the law enforcement community and other relevant parties – such as financial institutions – with the knowledge, skills and best practices to successfully detect and investigate currency counterfeiting.

We make available a number of web-based tools to authorized users via our secure communication network, I-24/7. These include:

  • Counterfeit alerts – information about newly discovered counterfeit banknotes in international contexts (except USD and EUR), along with a detailed forensic analysis;
  • Counterfeit currency statistics – annual statistical reports detailing quantities and types of counterfeit banknotes reported by our member countries;
  • Early warning messages – detailed alerts published by the European Central Bank and Europol about counterfeit Euro banknotes;
  • Documentchecker Banknotes, from Keesing Technology – an online reference database that enables inspection and authentication of more than 4,800 different banknotes, including a library of over 70,000 images and details of security features.

Forensic laboratory

We run a Counterfeit Currency and Security Documents laboratory, providing forensic support to investigators. Services include:

  • Sourcing, analysing and storing specimens of newly issued banknotes;
  • Analysing, classifying and storing counterfeit banknotes;
  • Allocating international ‘indicative’ numbers to newly discovered counterfeit banknotes (except for USD and EUR), to connect notes used in different places that were produced together.
  • Producing technical analytical reports.

Reaching out to the top financial institutions

Currency counterfeiting is a problem that cannot be dealt with by law enforcement alone. At INTERPOL, we work closely with other stakeholders including monetary issuing authorities, central banks and the security printing industry including:

  • Center for Latin American Monetary Studies,
  • European Central Bank,
  • European Commission Directorate-General for Economic and Financial Affairs,
  • ENFSI European Document Experts Working Group,
  • Europol,
  • Law Enforcement Advisory Group of the Central Bank Counterfeit Deterrence Group,
  • United States Secret Service.