If you have come to work in the UK as a migrant worker, information about managing your money and personal finances will undoubtedly be a large concern and source of worry. New immigrants too often are targets of crime or victimized by predatory lending and other high-cost financial services. For newcomers to the UK who are working hard and contributing to communities, access to basic banking services is a key to full participation in society. For everyone in the community access to mainstream financial services makes communities safer and positively impacts the financial health of UK society.
Here is some fundamental information about how Money and Banking work in the UK
Money in the UK
The UK has not entered the Euro and still has its own and currency which is made up of pounds and pence (£ and p). One pound (£1) is made up of 100 pence (p). Coins are issued for £2, £1, 50p, 20p, 10p, 5p, 2p and 1p. There are notes for £5, £10, £20, £50.
Banks
You will need proof of your identity to open a bank account and this can include a valid passport, a UK driving licence or a benefits book. You will also need proof of your address, which can include a bill for electricity, gas, water or phone or a Council Ta bill or a local council rent card or your tenancy agreement. Different banks have different requirements so you should check what you need first.
Credit Unions
A Credit Union is a locally run organisation where you can save money and can be used if you can't open a bank account. A Credit Union can transfer money (see below). Usually you need two pieces of evidence to open an account - proof of your address and a formal document with your signature on. You can start saving with as little as £1.
Sending Money Home
Many Migrant workers will frequently need to transfer money between the UK and their home country. If you want to send money outside the UK, or receive money from abroad, you can do this safely using the Money Gram system operated by the main post offices. Money Gram will transfer money instantly to post offices or banks in most countries around the world. You can also transfer money from a bank account here to a bank account in another country. There is a charge for these services.
Paying Bills
You will usually have to pay bills for services you use in your home such as gas, electricity, telephone and water. If you live in some rented accommodation, this may be included in your rent but you should check what you need to pay. Other services that people must pay for are Council tax and television licence.
