The banknotes: Northern Bank is to withdraw an estimated £300 million (€430 million) worth of banknotes and replace them with new ones in a bid to turn December's raid of the bank into a waste paper robbery.
At a news conference held yesterday by the PSNI chief constable, Mr Hugh Orde, it was announced that the unprecedented recall of the banknotes would take place in order to minimise Northern Bank's losses and restore public confidence.
All existing £10, £20, £50 and £100 notes will be replaced with new ones in a process costing up to £5 million (€7.16 million). However, £5 notes will not be affected as they were not involved in the robbery.
The process of printing the new notes and arranging distribution is expected to take about eight weeks, the bank said in a statement. "The new notes will be put into circulation as soon as possible thereafter, and the existing stock of notes phased out accordingly," it said.
Northern Bank is one of several commercial banks in Northern Ireland to issue their own bank notes.
The new notes will have the same design as the old ones, but will be printed in a different colour. They will also feature a new logo for Northern Bank and carry new prefixes to their serial numbers. The bank has been working on the new logo in consultation with Danish financial institution Danske Bank, which is due to take over ownership of the bank from its current owners, National Australia Bank, once the deal receives regulatory approval in the next few months.
"It is a major exercise for any bank, particularly in these circumstances because we have had no planning for it," Northern Bank's chief executive, Mr Don Price, told the Press Association yesterday.
"The man in the street doesn't really have to do anything. If they want to, obviously we would welcome people bringing in notes so we can change them."
However, there is no requirement on customers to hand over the old money at this stage.
A spokesman for Northern Bank told The Irish Times the new notes would be distributed through the bank's ATMs in a similar way to how the euro was introduced in the Republic.
As its sister bank is National Irish Bank in the Republic, Northern Bank is claiming to have the experience and expertise necessary to manage what it described as a complex logistical exercise.
"The only thing that has not been determined yet is whether or not there will be a cut-off date for using the old notes," the spokesman said. At the moment, they remain legal tender. No one who held old bank notes legitimately should have anything to worry about, the spokesman said.
Yesterday Mr Price denied security procedures in his bank were lax, but conceded that the way the gang held staff family members hostage meant its security strategies had failed. (Additional reporting: PA)
