|Freq. used||10/–, £1, £5, £10|
|Rarely used||£20, £50, £100, £1,000|
|Coins||1⁄2d, 1d, 3d, 6d, 1/-, 2/-, 5/- (5/- only used from 1937-1938)|
|Date of introduction||1910|
|Date of withdrawal||14 February 1966|
|Replaced by||Australian dollar|
|Pegged with||initially to sterling at par, then at £A 1 = 16 shillings sterling|
|Pegged by||New Guinea pound at par|
|This infobox shows the latest status before this currency was rendered obsolete.|
The pound (Sign: £, £A  for distinction) was the currency of Australia from 1910 until 14 February 1966, when it was replaced by the Australian dollar. Like other £sd currencies, it was subdivided into 20 shillings (denoted by the symbol s or /–), each of 12 pence (denoted by the symbol d).
The establishment of a separate Australian currency was contemplated by section 51(xii) of the Constitution of Australia, which gave Federal Parliament the right to legislate with respect to "currency, coinage, and legal tender". 
The Deakin Government's Coinage Act 1909  distinguished between "British coin" and "Australian coin", giving both status as legal tender of equal value. The Act gave the Treasurer the power to issue silver, bronze and nickel coins, with the dimensions, size, denominations, weight and fineness to be determined by proclamation of the Governor-General. The first coins were issued in 1910, produced by the Royal Mint in London. 
The Fisher Government's Australian Notes Act 1910  gave the Governor-General the power to authorise the Treasurer to issue "Australian notes" as legal tender, "payable in gold coin on demand at the Commonwealth Treasury". It also prohibited the circulation of state notes and withdrew their status as legal tender.   In the same year the Bank Notes Tax Act 1910 was passed imposing a prohibitive tax of 10% per annum on "all bank notes issued or re-issued by any bank in the Commonwealth after the commencement of this Act, and not redeemed", which effectively ended the use of private currency in Australia.
As a transitional measure lasting three years, blank note forms of 16 banks were supplied to the government in 1911 to be overprinted as redeemable in gold and issued as the first Commonwealth notes. Some of these banknotes were overprinted by the Treasury, and circulated as Australian banknotes until new designs were ready for Australia's first federal government-issued banknotes, which commenced in 1913. 
In May 2015, the National Library of Australia announced that it had discovered the first £A 1 banknote printed by the Commonwealth of Australia, among a collection of specimen banknotes. This uncirculated Australian pound note, with the serial number (red-ink) P000001, was the first piece of currency to carry the coat of arms of Australia. 
The Australian currency was fixed in value to sterling. As such Australia was on the gold standard so long as Britain was.
In 1914, the British government removed sterling from the gold standard. When it was returned to the gold standard in 1925, the sudden increase in its value (imposed by the nominal gold price) unleashed crushing deflationary pressures. Both the initial 1914 inflation and the subsequent 1926 deflation had far-reaching economic effects throughout the British Empire, Australia and the world. In 1929, as an emergency measure during the Great Depression, Australia left the gold standard, resulting in a devaluation relative to sterling. A variety of pegs to sterling applied until December 1931, when the government devalued the local unit by 20%, making one Australian pound equal to 16 shillings sterling and one British pound equal to £A 1/5/– .[ citation needed ]
During World War II, the Empire of Japan produced currency notes denominated in the Australian pound for use in Pacific island countries intended for occupation. Since mainland Australia was never occupied or intended to be occupied, the occupation currency was not used there, but it was used in the captured parts of the then-Australian territories of Papua and New Guinea. 
In 1949, when the United Kingdom devalued sterling against the US dollar, Australian Prime Minister and Treasurer Ben Chifley followed suit so the Australian pound would not become over-valued in sterling zone, countries with which Australia did most of its external trade at the time. As sterling went from US$4.03 to US$2.80, the Australian pound went from US$3.224 to US$2.24. 
Decimalisation had been proposed for Australian currency since 1902, when a select committee of the House of Representatives, chaired by George Edwards, had recommended that Australia adopt a decimal currency with the florin as its base. 
In February 1959 the Commonwealth Government appointed a Decimal Currency Committee to investigate the advantages and disadvantages of a decimal currency, and, if a decimal currency was favoured, the unit of account and denominations of subsidiary currency most appropriate for Australia, the method of introduction and the cost involved. 
The committee presented its report in August 1960. It recommended the introduction of the new system on the second Monday in February 1963.  In July 1961 the Commonwealth Government confirmed its support of a decimal currency system, but considered it undesirable to make final decisions on the detailed arrangement that would be necessary to effect the change.  On 7 April 1963 the Commonwealth Government announced that a system of decimal currency was to be introduced into Australia at the earliest practicable date, and gave February 1966, as the tentative change-over date.  On 14 February 1966, a decimal currency, the dollar of one hundred cents, was introduced. 
Under the implementation conversion rate, £A.1 was set as the equivalent of $2. Thus, 10/– became $1 and 1/– became 10¢. The conversion rate was problematic for the pre-decimal penny since the shilling was divided into twelve pence.
In 1855, gold full and half sovereigns (worth, respectively, £1 and 10/– sterling) were first minted by the Sydney Mint. These coins were the only non-Imperial denominations issued by any of the Australian mints until after Federation (the Sydney Mint struck Imperial gold sovereigns and half sovereigns starting in 1871, and the Melbourne Mint starting in 1872).
In 1910, .925 fineness sterling silver coins were minted in denominations of 3d, 6d, 1/– and 2/– (the last known as a florin). Unusually no half crown (worth 2/6) was ever issued. Bronze 1⁄2d and 1d coins followed in 1911. Production of half sovereigns ceased in 1916, followed by that of sovereigns in 1931. In 1937 a crown (5/– piece) was issued to commemorate the coronation of King George VI. This coin proved unpopular in circulation and was discontinued shortly after being reissued in 1938.
In 1946, the fineness of Australian silver sixpences, shillings, and florins was reduced to .500, a quarter of a century after the same change had been made in Britain. In New Zealand and the United Kingdom, silver was soon abandoned completely in everyday coinage, but Australian .500 silver coins continued to be minted until after decimalisation.
Examples of private issue paper currency in New South Wales, denominated in sterling, exist from 1814 (and may date back to the 1790s).  Denominated in sterling (and in some cases Spanish dollars), these private banker and merchant scrip notes were used in Sydney and Hobart through 1829.  Private issue banknotes were issued between 1817 and 1910 in denominations ranging from £1 to £100.  In 1910, superscribed banknotes were used as the Commonwealth's first national paper currency until the Treasury began issuing Commonwealth banknotes in 1913. The Commonwealth Bank Act of 1920 gave note-issuing authority to the Commonwealth Bank.
The Eastern Caribbean dollar is the currency of all seven full members and one associate member of the Organisation of Eastern Caribbean States (OECS). The successor to the British West Indies dollar, it has existed since 1965, and it is normally abbreviated with the dollar sign $ or, alternatively, EC$ to distinguish it from other dollar-denominated currencies. The EC$ is subdivided into 100 cents. It has been pegged to the United States dollar since 7 July 1976, at the exchange rate of US$1 = EC$2.70.
The Australian dollar is the official currency and legal tender of Australia, including its external territories, Christmas Island, Cocos (Keeling) Islands and Norfolk Island, and three independent sovereign Pacific Island states: Kiribati, Nauru, and Tuvalu. Within Australia, it is almost always abbreviated with the dollar sign ($), with A$ or AU$ sometimes used to distinguish it from other dollar-denominated currencies. The $ symbol precedes the amount. It is subdivided into 100 cents.
Legal tender is a form of money that courts of law are required to recognize as satisfactory payment for any monetary debt. Each jurisdiction determines what is legal tender, but essentially it is anything which when offered ("tendered") in payment of a debt extinguishes the debt. There is no obligation on the creditor to accept the tendered payment, but the act of tendering the payment in legal tender discharges the debt.
Sterling is the currency of the United Kingdom and nine of its associated territories. The pound is the main unit of sterling, and the word "pound" is also used to refer to the British currency generally, often qualified in international contexts as the British pound or the pound sterling.
The pound was the currency of the Republic of Ireland until 2002. Its ISO 4217 code was IEP, and the symbol was £. The Irish pound was replaced by the euro on 1 January 1999. Euro currency did not begin circulation until the beginning of 2002.
The British West Indies dollar (BWI$) was the currency of British Guiana and the Eastern Caribbean territories of the British West Indies from 1949 to 1965, when it was largely replaced by the East Caribbean dollar, and was one of the currencies used in Jamaica from 1954 to 1964. The monetary policy of the currency was overseen by the British Caribbean Currency Board (BCCB). It was the official currency used by the West Indies Federation The British West Indies dollar was never used in British Honduras, the Cayman Islands, the Turks and Caicos Islands, the Bahamas, or Bermuda.
The Bermudian dollar is the official currency of the British Overseas Territory of Bermuda. It is subdivided into 100 cents. The Bermudian dollar is not normally traded outside Bermuda, and is pegged to the United States dollar at a one-to-one ratio. Both currencies circulate in Bermuda on an equal basis.
The Jamaican dollar has been the currency of Jamaica since 1969. It is often abbreviated to J$, the J serving to distinguish it from other dollar-denominated currencies. It is divided into 100 cents, although cent denominations are no longer in use as of 2018. Goods and services may still be priced in cents, but cash transactions are now rounded to the nearest dollar.
The Trinidad and Tobago dollar is the currency of Trinidad and Tobago. It is normally abbreviated with the dollar sign $, or alternatively TT$ to distinguish it from other dollar-denominated currencies. It is subdivided into 100 cents. Cents are abbreviated with the cent sign ¢, or TT¢ to distinguish from other currencies that use cents. Its predecessor currencies are the Trinidadian dollar and the Tobagonian dollar.
The dollar has been the currency of Barbados since 1935. Globally its currency has the ISO 4217 code BBD, however, unofficially in Barbados the International vehicle registration code BDS is also commonly used, a currency code that is otherwise reserved for Bangladesh outside Barbados. As such the present dollar has the ISO 4217 code BBD. The Barbadian dollar is divided into 100 cents.
The pound is the currency of the Isle of Man, at parity with sterling. The Manx pound is divided into 100 pence. Notes and coins, denominated in pounds and pence, are issued by the Isle of Man Government.
The pound was the official currency of Jamaica between 1840 and 1969. It circulated as a mixture of sterling coinage and locally issued coins and banknotes and was always equal to the pound sterling. The Jamaican pound was also used in the Cayman and Turks and Caicos Islands.
The dollar was the currency of the colony of Newfoundland and, later, the Dominion of Newfoundland, from 1865 until 1949, when Newfoundland became a province of Canada. It was subdivided into 100 cents.
Canada has an extensive history with regard to its currencies. Prior to European contact, indigenous peoples in Canada used items such as wampum and furs for trading purposes, which continued when trade with Europeans began.
The pound was the currency of the Canadas until 1858. It was subdivided into 20 shillings (s), each of 12 pence (d). In Lower Canada, the sou was used, worth 1⁄2 penny. Although the £sd accounting system had its origins in sterling, the Canadian pound was never at par with sterling's pound.
Pre-decimal Australian coins arose when the Federation of Australia gave the constitutional power to Commonwealth of Australia to mint its own coinage in 1901. The new power allowed the Commonwealth to issue legal tender rather than individually through the six former British self-governing colonies of Queensland, New South Wales, Victoria, Tasmania, South Australia, and Western Australia.
The Australian Shilling, informally called a "bob", was a type of silver coinage issued by the Commonwealth of Australia, that circulated prior to the decimalisation of Australian coinage. The Australian shilling was derived from the British pre-decimal sterling pound system and was first issued following the passing of the Australian Coinage Act 1909, which established Australia's first formal currency system. The shilling was issued as part of Australia's silver coinage, which included the two-shilling (florin), the sixpence and the threepence. The shilling was minted from 1910 until 1963. During this period there was one significant modification to the design of the Australian shilling, the change in its reverse design, which occurred in 1938 when the design was altered from the Australian Coat of Arms (1910-1936) to the visage of a Merino ram’s head (1938-1963).
The Australian sixpence circulated from 1910 up until the decimalisation of Australian Currency in 1966. The coins were initially minted in England; however, Australia began to mint their own from the year of 1916 at branches of the Royal Mint in Sydney and Melbourne. The coins which made up Australia's pre-decimal currency were identical to British currency in the characteristics of weight and size. The Coinage Act of 1909–1947, authorised the issue of Australian coins in the select denominations, including the sixpence. By 1916 all silver denominations, including the sixpence, could be minted at the Royal Mint branch in Melbourne. Unique Australian currency was created with decimalisation in 1966.
Banknotes of the Australian pound were first issued by numerous private banks in Australia, starting with the Bank of New South Wales in 1817. Acceptance of private bank notes was not made compulsory by legal tender laws but they were widely used and accepted. The Queensland government issued treasury notes (1866–1869) and banknotes (1893–1910), which were legal tender in Queensland. The New South Wales government issued a limited series of Treasury Notes in 1893.
The history of Australian currency commences with the first European settlement of Australia on 26 January 1788. At the time, New South Wales was a British colony, and the English currency was in formal circulation, though the supply was insufficient and alternative forms of exchange were resorted to. A national Australian currency was created in 1910, as the Australian Pound, which in 1966 was decimalised as the Australian Dollar.
Ratio: at par
|Currency of Australia |
1910 – 1966
Ratio: 2 dollars = 1 pound