The American essayist Ralph Waldo Emerson wrote that “money often costs too much”.
That pithy claim was justified in an online auction on Wednesday when a successful bidder paid £24,000 for a £500 banknote.
The extremely rare note from the Bank of England branch in Leeds was dated 1936 and was up for a sale during a banknotes auction hosted by Noonans.
A major collector of Bank of England notes bought the item, which had been signed by Kenneth Peppiatt, who was the Bank’s chief cashier at the time.
Andrew Pattison, the head of the banknote department at Noonans, said: “It is indeed a fantastic note. £500 notes are very rare, and in fact only available from three Bank of England branches – London, Liverpool and Leeds – although some were issued in Birmingham and Manchester none have ever come to light.
“Of those available, Leeds branch, like this one, are the rarest. It came from a long-term collector and is only the second example ever to come to the open market.”
The note had been expected to fetch between £18,000 and £22,000. It was the first one to ever be sold at auction and only the second known to exist.
Banknotes that have early serial numbers are often sought after by collectors because many did not make circulation.
When the Bank of England issues a new note, it donates those with significant serial numbers to the people and institutions involved in the development or to charity.
