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Quick Answer. About.com reports that the legal currency in London is the pound sterling. The official London visitor's site notes that despite being a member of the European Union, the United Kingdom does not use the Euro as standard currency. Continue Reading.
A deep dive on pounds. British Pounds are the 4th most traded currency in the foreign exchange market. The first decimal coins were introduced in 1968. More info on pounds. The bills in circulation for British pounds are Â£5, Â£10, Â£20, and Â£50 notes. The coins in circulation are 1p, 2p, 5p, 10p, 20p, 50p, Â£1 and Â£2.