1P

1p, or one penny, is the smallest denomination of the pound sterling, equal to 0.01 pounds. It is issued by the Royal Mint and used in everyday transactions in the United Kingdom. The 1p coin is part of the decimal currency system introduced during decimalization in 1971, when the pound was divided into 100 pence.

Material and design have changed over time. The 1p coin was originally issued in a bronze alloy, and since 1992 it has been struck in copper-plated steel to reduce production costs. The obverse typically bears the portrait of the reigning monarch, while the reverse designs vary by year and issue, including national symbols and commemorative motifs.

Usage and circulation are driven by practical considerations. 1p coins are common for pricing and making change, but in day-to-day retail practice many cash transactions are rounded to the nearest five pence for convenience. The penny remains legal tender, though merchants may choose to accept or refuse large quantities of coins in private transactions. In recent years there has been public and governmental discussion about phasing out the 1p (and sometimes 2p) coin, a move seen in other countries, but no abolition has been enacted in the United Kingdom.

Summary and context: as the smallest unit of the pound, 1p plays a long-standing role in UK pricing, accounting, and coinage history. It continues to circulate alongside higher denominations, reflecting ongoing debates about cost, convenience, and the behavior of cash payments in modern economies.