Lord De Mauley
Main Page: Lord De Mauley (Conservative - Excepted Hereditary)
Lord De Mauley
My Lords, I start by thanking my noble friend Lord Risby for sponsoring the Bill and for leading this morning’s debate. I also thank all noble Lords for their welcoming comments. Several have given helpful advice—in particular my noble friend Lord Stewartby and the noble Lord, Lord Davies of Oldham, and their points are well taken. If I may, I will avoid inserting myself into the Welsh discussion, except to say that I have sympathy with the general point made by the noble Lord, Lord Davies.
The legislation put forward by my noble friend is neither complicated nor controversial. Indeed, the Bill completed its passage through the other place, again with universal support from all parties. I am happy to say at the outset that the Government support it.
In the course of its 1,100-year history, the Royal Mint has become one of the world’s leading international mints. Not only does it supply all coins circulating in the United Kingdom, it is the chosen supplier for more than 60 countries worldwide. Of course, a large part of its business—and the part that applies to today’s debate—concerns commemorative coins. It is understood that for almost as long as there have been coins, there have been coin collectors. Originally hoarded for their bullion value, coins later started being collected for their artistic value. In this century, coin collecting is no longer an exclusive pastime reserved for the privileged classes. Indeed, its growing popularity has led to a re-coining of its description, and it is now known by many as the king of hobbies.
As such a long-standing and traditional pastime, it is perhaps unsurprising that market and consumer demand has evolved—which brings us to the reason we are here today. As we have heard, the Bill seeks to amend the Coinage Act 1971 in order to accommodate that evolution of demand and allow the Royal Mint to strike 1 kilogram coins. Experience shows us that there is a sizeable international market for kilogram coins. In the past 10 years, more than 40,000 Olympic kilogram coins have been issued around the world. Kilogram coins are an enduring keepsake, a lasting investment, and a valuable piece of numismatic art and history. It is therefore right that the London 2012 Olympic and Paralympic Games should follow their predecessors and feature kilogram coins as the crowning pinnacle of the Royal Mint’s Olympic coin programme.
Overall, it is estimated that the Olympic coin programme will generate approximately £2 million in royalty income for Her Majesty’s Treasury, as well as royalties for the London organising committee, the International Olympics Committee and revenue for the Royal Mint. Of course, the legislation does not limit the striking of kilogram coins to the London 2012 Olympic Games. Future events of national cultural and historical significance would also be able to be commemorated with kilogram coins. As such, this Bill will have a weighty impact for generations to come.
I echo the comments of the noble Baroness, Lady Grey-Thompson, about London’s leadership in diversity in its approach to these Games. The Royal Mint Olympic coin programme has represented both the Olympic and Paralympic movements in its designs for the gold and silver kilogram coins, which commemorate the London 2012 Games as a whole. The entire Olympic coin programme has been developed in collaboration with LOCOG. It and the Royal Mint are committed to ensuring that both the Olympic and the Paralympic Games are appropriately commemorated. As my noble friend Lord Risby said, the legislation does not limit kilogram coins to the Olympic Games alone. Thereby, other significant occasions can be similarly commemorated.
The right reverend Prelate the Bishop of Chester asked how Section 1(6) of the 1971 Act arose. I can tell him that it was inserted by Section 1(1) of the Currency Act 1983. I hope that is helpful to him.
My noble friend Lord Stewartby made a valuable point that there needs to be a degree of abstinence in striking commemorative coins so as not to debase them. He is right. As my noble friend Lord Risby explained, the Royal Mint is planning on producing just 60 gold coins, precisely for that reason.
I repeat my thanks to my noble friend Lord Risby for sponsoring this Bill, the effects of which he has explained so clearly that I do not need to reiterate them. The Government fully support the Bill.