Central Bank announces rollout of rounding of 1c and 2c coins nationally
The National Rounding Project, which will see a reduction in the need for 1 and 2 cent coins, will begin rollout on Wednesday 28th October. This will give four months for retailers to prepare, is sufficiently in advance of the busy seasonal shopping period, and will allow time for the Central Bank to prepare and execute a consumer education campaign while also ensuring retailers have access to adequate materials and support to ensure that the rollout is a success.
The Central Bank will shortly issue a guide to how rounding will work which we will distribute when available.
Please inform your members of the rollout date so they can begin preparing as soon as possible.
The key features of rounding are:
Rounding will be conducted on a voluntary basis;
1c and 2c coins will remain legal tender,
rounding will apply only to cash payments, and
the total amount of any bill will be rounded down or up to the nearest 5c.
The Central Bank will engage with industry bodies and other stakeholders in advance of rollout to ensure that they are fully prepared for it. The Central Bank will also ensure that the public and consumers are well informed.
Rounding will only apply to:
Cash transactions (not to credit card, electronic or cheque payments), and
to the total transaction bill (not to individual goods).
The bill can be rounded up or down, as follows:
a transaction costing €10.21 or €10.22 would be rounded to €10.20
a transaction costing €10.23 or €10.24 would be rounded to €10.25
a transaction costing €10.26 or €10.27 would be rounded to €10.25
a transaction costing €10.28 or €10.29 would be rounded to €10.30
Two individual items priced at €10.99 and €3.49 respectively would remain at these prices, though the total bill (€14.48) would be rounded up to €14.50.
Three individual items priced at €2.99, €4.49 and €8.17 respectively would remain at these prices, though the total bill (€15.61) would be rounded down to €15.60
As at 12 June 2015 1,096,853,216 2c coins have been issued into circulation in Ireland amounting to €21,937,064.32. 1,384,491,236 1c coins have been issued into circulation in Ireland amounting to €13,844,912.36.
A 1 cent coin costs 1.65c to produce while 2 cent coin costs 1.94c.
Six EU Member States have already adopted a symmetrical rounding policy; The Netherlands, Sweden, Finland, Denmark, Hungary and Belgium