Coinage (Measurement) Bill

Iain Stewart Excerpts

Friday 4th February 2011 Commons Chamber

[Mark Lancaster]

My hon. Friend makes a valid point. I would like to think that that would be the case. It is my understanding that the coins will be put up for sale—and sale only.

The Royal Mint wants to ensure that the two commemorative kilogram coins will crown the range of coins. Judging from the reception of similar coins around the world, and after consulting representatives of the coin trade and collectors, the Royal Mint is confident that the UK kilogram coins will be well received—but hopefully not by the IOC.

[Iain Stewart (Milton Keynes South) (Con)]

I congratulate my hon. Friend on introducing the Bill. Does he agree that the coins, as well as being of interest to collectors around the world, could usefully serve as prizes for different communities, which will try to emulate the Olympic games by hosting, for example, inter-village competitions? A kilogram coin would be a fitting award to the community that triumphed in those sporting contests.

[Mark Lancaster]

My hon. Friend makes a powerful point. Indeed, the coins will be for sale, and there is an opportunity for doing what he suggests.

--- Later in debate ---

[Mark Lancaster]

Having seen the production line for myself, I am confident that they will indeed be 100% gold and 100% silver. I would hate to think that what my hon. Friend describes would happen again, and after my visit I am quite confident that that will not be the case.

It may interest hon. Members to hear that there is a common misconception about the meaning of legal tender. The face value of the coins will be very different from the cost of buying them. The parties involved in a transaction are free to agree the means of payment, whether bank notes, credit card or other payment arrangements. However, in the absence of any such agreement, the creditor is entitled to require payment in legal tender. Conversely, the debtor is entitled to use it. Bank of England bank notes are legal tender in England and Wales, but not in Scotland or Northern Ireland. However, Scottish and Northern Irish bank notes are not legal tender anywhere in the United Kingdom. I see my hon. Friend the Member for Milton Keynes South (Iain Stewart) nodding. I am sure that he has suffered from this. Coin is also legal tender throughout the UK, although in most cases only up to certain specific limits.

The Olympic programme would generate royalties for London 2012 and the Exchequer, because the Royal Mint corporate entity is 100% owned by Her Majesty’s Treasury. Of course, the royalty payable would depend on sales and the final price of the coins, which will be determined by the price of gold, as I have said. However, as I mentioned, it is expected that demand will be similar to, if not greater than, that associated with previous Olympics. It is also important to note that the project is self-funding. The coins form just part of a wide range of products the Royal Mint is issuing to commemorate the 2012 Olympics. As Lord Coe, the London 2012 chairman, said in 2009:

“we’re thrilled to be working with the Royal Mint to commemorate three years to go. As the excitement builds over the next three years, it is fantastic to know that the Royal Mint will be alongside us, helping the whole country to join in with our celebrations.”

It is important to remember that the sporting, cultural and historical significance of London 2012 is not limited to the area within the M25 boundary. The athletes aspiring to compete under the Great Britain banner come from all over the United Kingdom. I would particularly like to recognise those from my own constituency and its environs: Greg Rutherford, Nathan Robertson, Bobby White, Joey Duck and Mervyn Luckwell are just a few of the Buckinghamshire athletes hoping to take part in the Olympic and Paralympic games in 2012. Furthermore, in recent weeks, my hon. Friend the Member for Milton Keynes South and I have been to a number of local events organised by Roger Fennemore and his wife, Sally, helping to raise funds for our local athletes and their training for the Olympic programme. I pay tribute to them. I am pleased that Milton Keynes has also been selected as the site of one of the 2012 Olympic training villages, owing to its strategic location and strong infrastructure, offering training for five Olympic and four Paralympic sports. Her Majesty the Queen planted the first tree on the Olympic park—next to the waterways, adjacent to the stadium—a mature willow tree grown in Milton Keynes, the first of more than 300 that will be planted on the stadium site.

[Iain Stewart]

My hon. Friend makes an important point about the significance of the Olympic games to towns, villages and cities throughout the United Kingdom. As well as supporting the elite athletes who will be competing in the games, an important part of the Olympic legacy will be inspiring young people to take part in sport and to develop their talents. This Bill, in addition to the measures that he has mentioned, will be instrumental in inspiring that new generation.

[Mark Lancaster]

My hon. Friend makes an important point. The whole programme is excellent, particularly the 50p coins, of which I think there are 29 versions, celebrating each individual sport. One of those coins was designed by a “Blue Peter” viewer, so we have indeed managed to engage the whole country in the programme. That is important if we are to continue to inspire young people to take part in the Olympic programme.

Let us not forget the Paralympic mascot, Mandeville, named after the Buckinghamshire village where the precursor to the Paralympics was born. I would also like to mention Dr William Penny Brookes, the founder of the Wenlock Olympic games, which have been held almost every year since 1850 in the historic town of Much Wenlock, in the constituency of my hon. Friend the Member for Ludlow (Mr Dunne). As the House knows, the Wenlock games were the inspiration—here, in England—of the modern Olympic games, which started in 1896 in Athens, after Baron Pierre de Coubertin, a Frenchmen, had witnessed them. The London Organising Committee of the Olympic Games and Paralympic Games has recognised Much Wenlock’s place in British Olympic history by naming the London 2012 mascot Wenlock. That is an excellent tribute to my hon. Friend’s constituency town.

The striking of kilogram coins will not be limited to commemorating the Olympics. Future events of cultural significance and historical anniversaries, as well as sporting occasions, could all be celebrated in that way. The Coinage (Measurement) Bill therefore presents an exciting opportunity, with far-reaching implications. I am looking forward to a lively debate, but would urge hon. Members to let the Bill pass unopposed to the Committee stage.