Britain will have new euro notes before the Continent

Britain is set to get the euro ahead of everyone else, an "independent" investigation of the next stage in the single European currency, the circulation of euro notes and coins, has concluded.

Britain is set to get the euro ahead of everyone else, an "independent" investigation of the next stage in the single European currency, the circulation of euro notes and coins, has concluded.

The notes and coins are due to enter circulation on 1 January 2002. European Central Bank sources suggest that banks outside the euro area will have first access to them, a month before the launch. UK banks will have the currency in stock from 1 December.

But within the area, the absence of a centralised plan for the new notes and coins could make the changeover a shambles. There is no common agreement about arrangements for businesses and the public to have access to euros before that date, or for the time limit for converting old currencies.

For two years, the currencies of the 12 participants of monetary union have been locked to the euro, and to each other, at fixed exchange rates. The "legacy" currencies continue to circulate and are due to be superseded at the end of the year.

The first hiccup is over "frontloading" the notes and coins - getting them into bank vaults, shop tills and people's wallets. But euros will not be available in French banks until 15 December; in Austria, the date is 17 December. These are popular skiing destinations, so they are likely to be busy with tourists over Christmas and New Year.

After 1 January, visitors who spend money in a "legacy" currency will receive change in euros. But the validity of old money varies between countries: Deutschmarks will cease to be legal at midnight on New Year's Eve, yet the Bundesbank also says that its coins will still be issued until the end of February. Ireland's punts will be out of circulation after 9 February. France plans to phase out francs by 17 February - peak skiing week for British visitors.

Holidaymakers should benefit as one transaction will secure currency for 12 countries: Belgium, Austria, France, Finland, Luxembourg, Ireland, the Netherlands, Germany, Portugal, Italy, Greece and Spain, whose initial letters spell out the mnemonic "baffling pigs".