Wetherspoon update after pub chain changes cash payment rules

The Government has provided an update after Wetherspoon announced changes to its rules for accepting cash payments. Wetherspoon decided in November 2024 to stop accepting Scottish £20 and £50 notes after issues with "criminal gangs" putting fake cash notes into distribution.

Liberal Democrat MP Angus MacDonald asked the Government what discussion it had had with the pub chain about "their policy on accepting Scottish banknotes in their premises in England". Treasury minister Lucy Rigby provided a response from the Government. She said: "There is no legal requirement for businesses to accept specific forms of payment.

"Each business decides which payment methods to accept based on factors including cost and customer needs and preferences." She went on to explain that the Government has "no plans" to change the law on this matter.

However, she did note some new laws that have come in relating to issue of cash access. Ms Rigby said: "In recognition that millions of people continue to use cash, the Financial Services and Markets Act 2023 introduced safeguards to protect the public's access to cash."

The bill includes new powers for the Bank of England to promote the wholesale distribution of cash. The minister explained how the cash system in the UK works: "The UK is unusual in allowing several commercial banks to issue their own banknotes.

"As well as Bank of England issued notes, authorised banks in Scotland and Northern Ireland issue banknotes in those jurisdictions. However, it remains the individual retailer’s choice whether to accept or decline any form of payment, including cash or card, based on their consideration of factors such as customer preference and cost."

In explaining the decision not to no longer accept Scottish bank notes, Wetherspoon spokesman, Eddie Gershon, said: "We were notified by the Bank of England last October that a large number of fake Scottish £20 notes were being put into circulation by organised crime gangs. Advice was given as to how to identify them — but with a warning not to accept if in doubt.

"This warning, coupled with an increase in the receipt of fake notes by pubs, led to a decision in late November last year not to accept Scottish £20 notes. This does not apply in Scotland and certain towns and cities with close links to Scotland.

"Scottish £50 notes are not accepted for the same reason. We will continue to keep the decision under review."