In the past decade, there has been plenty of reports on the death of cash and how a large chunk of Britons are now happy to go about their daily lives without using physical money.

Last month, we reported that one in 10 Britons are now exclusively cashless using digital wallets, contactless cards and even smart watches, while nearly a quarter of retailers no longer accept cash.

There has also been a sharp change in how we spend our money. At last count, fewer than 10 per cent of all payments are in cash with UK Finance predicting this will fall to 4 per cent by 2034.

But despite that, new Bank of England figures show continued growth in bank notes in circulation - a scenario its chief cashier, Victoria Cleland, describes as a 'paradox.'

The number of £5, £10, £20 and £50 notes is rising, suggesting people are still withdrawing cash – and there has been little slowdown in recent years.

At latest count, there are £91.5billion of bank notes in circulation – up 6.5 per cent on 2025 and up nearly 63 per cent on 2014, where the figure stood at £56.2billion.

In order of value, £20 notes reign supreme, with £58.6billion worth circulating, according to the Bank of England.

Next up is £50 notes, with a total value of nearly £18billion. This comes despite cash machines typically not issuing them.

Indeed, the £50 has seen the biggest overall circulation boom of the last year, with the total value up 10.5 per cent.

This compares to 6.5 per cent for £20 notes, 3.2 per cent for £10 denominations and just 2 per cent for £5 notes.

Since 2014, there has been a 62.7 per cent rise in the total value of £50 notes in circulation versus a 60.1 per cent rise for £20 notes – compared to a 29.2 per cent rise in the value of £5 notes.

It is likely the increase in demand for £50 notes comes from non-residents, with evidence suggesting they are holding sterling as a store of value.

Research across countries shows people are attracted to cash in times of uncertainty.

Graham Mott, director of strategy at cash machine network operator LINK, told This is Money: 'The vast majority of ATMs don't issue £50 notes, but they will come from bank branches, Post Offices and bureau de changes.

'It's a good form of safe tangible saving, especially if you live somewhere where you don't have faith in the local currency, local banks or the local economy, for example, there might be currency controls.

'It's also worth noting that cash becomes cheaper to hold when interest rates are low and people may not take the time to put it into a savings account.'

Last year, £80billion was withdrawn from Link cash machines across Britain – or roughly £1,350 per adult.

Graham adds: 'While many more people are choosing and preferring to pay for things online or digitally, people like having or paying for cash in the event something goes wrong.

'Cash feels safe and not just for people who prefer to budget with it. Our data shows that in the event of potential cyber-attacks or power outages, there has been an increase in people withdrawing cash alongside stocking up on things like tinned goods, water and torches.'

Last month, Victoria Cleland, chief cashier at the Bank of England, spoke about the importance of cash in a speech given at the Banknote Conference in Washington DC.

She said: 'Across many countries, we see the paradox of cash: while cash is used less frequently for transactions, notes in circulation continue to grow.'

She added: 'Choice is a foundation for a well-functioning payments system. Choice underpins inclusion, ensuring that everyone can participate in the economy in a way that works for their circumstances...

'To preserve choice, we need to keep cash relevant.'

The House of Lords recently announced a new National Resilience Committee who have began to undertake work looking at the UK's approach to physical cash – and whether Britons need guidance on keeping an emergency stash.

Some European countries give guidance on cash reserves. The European Central Bank recommends €70-€100 per person, or 72 hours' worth of spend.

Holland says €70 plus €30 for each child, again with three days' worth of spend. Sweden, which was once on the cusp of going cashless, recommends a week of cash reserves.

Finland recommends 72 hours' worth of spend, Austria €100 per person, while Spain and Portugal recommend keeping a 'small amount'.

But Britain, France and Germany have no guidance on keeping physical money at hand.

Graham says: 'Last year we saw the disruption to payment systems in Spain and Portugal, and our data shows many people regularly face disruption in the UK - some of this is non-acceptance, but also payment systems being down.

'Perhaps it's of no surprise if more than half of people now say they regularly leave home without a physical wallet, relying wholly on digital systems and having enough charge on their phone.

'It is interesting to see countries like Norway, Netherlands and Sweden having this conversation and engaging with their citizens including how much cash they should keep at home and even the mix of notes and coins.'

A recent exclusive survey for This is Money by LINK showed 56 per cent believe cash is vital in the event of digital payment outages.

The research asked people about contingency planning in case of a major disruptive event such as a power outage, IT failure, natural disaster or cyber-attack.

It revealed in a disruptive event to digital payment networks resulting in card or mobile payments not being accepted in shops, 17 per cent stash cash at home specifically for this type of scenario.

Graham adds: 'We are seeing more people choosing to live broadly cash free lives. For many, it's convenient and a growing number of shops often encourage digital payments or no longer accept cash at all.

'Our data shows however that digital doesn't always work and many people will have experienced payment systems at home and abroad going down or the card reader not working.

'Our research suggests people typically carry around £10. It's down to each individual, but I think £50 per adult and £25 per child seems about the right amount for the UK.

'That should be enough for a few days but make sure it is in a range of denominations and includes some coins, as shops may not have enough change and you may need to pay the exact amount.'

Do you keep an emergency stash of cash? Let us know how much and why you do it: editor@thisismoney.co.uk