1 November 2011 Last updated at 20:14 ET

New £50 banknote in circulation

 

Boulton (left) was key to the emergence of Birmingham as an industrial centre

The new Bank of England £50 banknote featuring Matthew Boulton and James Watt has entered into circulation.

The pair feature on the new note partly because they were instrumental in manufacturing coins that were difficult to counterfeit.

The banknote, which includes a number of new security features, will eventually take over from the note carrying Sir John Houblon's portrait.

But that remains as legal tender until a withdrawal date is set by the Bank.

The Houblon note, marking the contribution of the first governor of the Bank, was introduced in 1994.

Security

There are about 210 million £50 notes in circulation, worth £10.5bn.

The new version of the £50 banknote has a thread woven into the paper, rather than printed on it.

There are images on the thread of a £ symbol and the number 50 which move up and down when the banknote is tilted from side to side.

When the note is tilted up and down, the images move from side to side and the symbols switch.

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Raised print

The words "Bank of England" and the number 50 in the bottom right-hand corner have been produced in raised print.

Metallic thread

A metallic thread is embedded in the paper in every banknote. If you hold the note up to the light with the front side facing you, the metallic thread appears as a continuous dark line.

Watermark

When you hold the new-style £50 note up to the light you will see an image of the Queen's portrait together with a bright £50.

Microlettering

A close look under a magnifying glass at the lettering beneath the Queen's portrait on the new-style £50 note shows the value of the note written in small letters and numbers.

Ultra-violet feature

Under a good quality ultra-violet light, the number 50 appears in bright red and green. The five windows of the motion thread also appear in bright green. Randomly spread bright red and green flecks are also visible on both the front and back of the note.

Motion thread

Motion thread woven into the paper has five windows along its length which contain images of the £ symbol and the number 50. When the note is tilted from side to side, the images move up and down. When the note is tilted up and down, the images move from side to side and the number 50 and £ symbol switch.

See-through register

When you hold the new-style £50 note up to the light you will see coloured irregular shapes printed on the front and back that combine to form the £ symbol.

History

This is the first time that two portraits will appear together on the reverse of a Bank of England banknote.

Boulton and Watt were most celebrated for bringing the steam engine into the textile manufacturing process.

However, staff at Birmingham Central Library, which holds a significant collection of letters, books and other items relating to the duo, explain that Boulton and Watt were also key to dealing with problems with money in late 18th Century Britain.

There was a coin crisis in the 1780s and the economy was being flooded by counterfeit coins.

Market traders say they do not like accepting £50 notes

In 1788, Boulton set up a Mint in Birmingham, powered by the pair's steam engine, which manufactured coins that were difficult to counterfeit.

"Boulton and Watt's steam engines and their many other innovations were essential factors in the nation's industrial revolution," said Bank of England governor Sir Mervyn King.

"The partnership of an innovator and an entrepreneur created exactly the kind of commercial success that we will need in this country as we rebalance our economy over the years ahead."