Cash will be around for decades, says Bank policymaker

We will be using cash for “decades” to come, according to the Bank of England’s deputy governor, as officials sought to allay fears that a central bank digital currency would replace notes.

Sir Jon Cunliffe told MPS that while he believed the creation of a digital currency was far more likely than not, the Bank “will make cash available as long as anybody wants. I imagine there will be a very long tail of cash use”.

The Bank has previously said that a “digital pound” will “likely” be needed in the future. But Sir Jon said 15pc of transactions in the UK were still cash-based. “I expect cash to be around for quite a long time – decades, probably,” he told the Treasury select committee. He said action had been taken to enshrine this in law.