§ Mr. Beaumont-Darkasked the Chancellor of the Exchequer whether he intends to withdraw the ½p coin from circulation.
§ Mr. LawsonI have considered the evidence carefully and have decided that the ½p coin no longer fulfils a useful function in the currency. Moreover, it is now costing more to make than its face value. The Royal Mint will therefore cease to issue ½p coins from 29 March 1984.
The ½p is currently worth less than the farthing when it was demonetised in 1960 and the old halfpenny when demonetised in 1969. The impact on the RPI of its withdrawal should be negligible.
The ½p coin will remain legal tender for the time being. But I expect formal demonetisation to follow by the end of the year.