This website uses cookies primarily for visitor analytics. Certain pages will ask you to fill in contact details to receive additional information. On these pages you have the option of having the site log your details for future visits. Indicating you want the site to remember your details will place a cookie on your device. To view our full cookie policy, please click here. You can also view it at any time by going to our Contact Us page.

Saving on pennies costs vending industry £millions

28 October 2010

Savings at the Royal Mint of £10m announced in the Comprehensive Spending Review will cost vending companies at least £42m.

The Royal Mint’s proposals to save some £10m on the metal used in its 5p and 10p coinage is set to cost the vending machine industry £millions. Rather than continue with the mix of copper and nickel the Royal Mint wants to change to the cheaper nickel-coated steel, and this was given approval in the CSR. The new coinage could be legal tender from January 2011.
The Automatic Vending Manufacturers Association has been trying to stop this change because the new coins are wider than their current equivalents.  This means that every vending machine, parking meter and coin operated phone box will need to have its mechanism changed or adjusted.  There are estimated to be 500,000 vending machines in the UK, and about 200,000 pay phones. According to Jonathan Hilden, chairman of the AVMA, an engineer’s visit can cost about £100 per machine to either make a software change or remove and re-engineer the coin mechanism.  The costs to vending machiner operators alone is estimated at £43m.
“The new coins will be legal tender from January 2011 but we have been assured that this can be delayed to 1st April to allow for the changover to take place,” he said.
Despite discussion over the past two years, the announcement in the CSR last week came as a surprise with no advance warning.
He explained that while some machines can be changed during their standard maintenance regime, many machines are no so reliable that they need not receive a maintenance visit for up to three years.  This change means that additional maintenancne visits will have to be scheduled.
He said it is the resposibility of the machine operators to undertake and bear the cost of the changeover. He observed the hospitals typically have vending machines,  parking meters and coin operated phones. He speculated that the cost of the changover could mean that some machines will never be changed and be taken out of use.


Contact Details and Archive...

Print this page | E-mail this page

https://www.fsifm.com


MOST VIEWED...

View more articles
Article image

Growing numbers of FM workers added to non-isolation list

Following increasing concern on the impact of essential workers having to isolate after coming into contact with Covid-19 sufferers, more testing sites wil...
Article image

Now is the time to prepare for winter risk management

As we reach mid summer, the autumn and winter months are approaching and require plans to be made for facilities to be ready for all eventualities....
Article image

UK trial of hydrogen and natural gas mix receives green light

Next month sees the start of 10-month trial of introducing 20% hydrogen into the gas grid, after the project received the approval of the Health and Safety...
Article image

Why the Law Says You Need a Nappy Bin Disposal Service

At home, parents are used to disposing of their babies’ used nappies the same way they do any other domestic waste - bagging it up and sticking it in the r...
Article image

Center Parcs goes cashless with Systopia

Systopia, which deals with cashless payment systems, has secured a contract with UK Short Break Operator Center Parcs to provide cashless payment systems i...
Article image

Certified membership launched by BIFM

BIFM has announced a streamlined membership structure that recognizes academic achievement and formally recognises the BIFM's professionally qualified me...
http://edition.pagesuite-professional.co.uk/Launch.aspx?PBID=78915b1c-0f11-4b5e-9468-ba601ad89761