Residents of East Sussex town, Lewes, are taking the credit crunch head on and ploughing ahead with plans to launch their own local currency.
The Lewes pound, due to be launched on 9th September this year, will be counted as legal tender and will match its sterling equivalent in value. What's more, as over 10,000 notes are expected to be printed in the first run off, it makes this the largest scale launch of a local currency since 1895.
The primary focus of the scheme is to encourage residents to shop locally and more than 30 local shops have already agreed to accept the alternative currency as payment for goods. While the majority of these retailers are predominantly smaller, locally owned stores, Barclays bank has also confirmed that their in-town branch will recognise the Lewes pound as valid.
The local currency is set to be introduced for an initial 12 month trial period and during this time needs to prove its worth to both local businesses and the local community if it is to remain a permanent fixture. However, known as a Transitional Town after its keen focus on reinforcing the local currency, the Lewes Pound represents just one of the many strategies the local community are taking to weather the tougher economic conditions we are now facing.
"We want to re-localise and strengthen the local economy - grow our food locally, have more businesses locally and generate our own energy locally as well." Said Adrienne Campbell, brain child of the scheme.
Initially inspired by a similar currency launched in a Devonshire town last year, developers of the Lewes pound have also been looking across the pond for guidance.
Berkshire, Massachusetts successfully introduced a local alternative to the dollar almost two years ago and the initiative has gone from strength to strength ever since. Currently there are over $800,000 worth of 'BerkShares' in circulation and over 300 shops that accept the tender. Neighboring towns have also jumped on the band wagon and are encouraging use of BerkShares in their local businesses too.
Developers of the Lewes scheme are confident that in light of the current economic conditions the launch will be nothing short of a success.
"With the current credit crunch, there is some disquiet about the global economic system," commented Oliver dudock van Heel, one of the schemes founders. "Studies show if there is more than 12 per cent unemployment in a community these systems become very popular. Who knows how important this could be?"
