How to pay in the United Kingdom and where to exchange Australian dollars for pounds sterling in Australia?

When we prepare for our trips, we always take into account two factors: the way to get there (flight, road, boat...) and accommodation. Without a doubt, these are the two topics that cause us the most headaches, but… Once at the destination, we are filled with doubts such as… How much money am I going to spend? How to pay in the United Kingdom? Will I have fees?

To pay in the United Kingdom, you have several convenient and secure options, such as paying in cash. Paying in cash will give you exact control over the Australian dollars and pounds you are spending. To do this, you must exchange Australian dollars for pounds sterling beforehand. You have many options to exchange Australian dollars for pounds sterling: exchange online, at exchange offices, or exchange currency at the airport.

Still, the most common way is to use credit or debit cards from major networks like Visa, MasterCard, and American Express, which are widely accepted in most shops.

The answer to this question is: it depends. Most places will offer you the option to pay by card, such as in supermarkets (Tesco or Sainsbury's), cafés like Costa Coffee or Starbucks, or even the London Underground. The problem arises with the fees. Card payments are very convenient and quick, but the transaction you will be making is outside of Australia and, generally, you are making a payment in pounds. What happens next?

Well, your bank will proceed to convert pounds sterling to Australian dollars for the amount of that purchase, applying the rate that is defined by the institution at that moment. Each of your purchases will incur that fee, and it is possible that until your return to Australia you will not know how many Australian dollars you have spent in the UK.

Yes. One of the alternatives for your purchases and payments during your trip is cash. It is not as necessary as it used to be, but it is the most useful. For example, when shopping at street markets like Borough Market in London, it is common to pay in cash. Similarly, when using transport services like London black cabs, it is possible to pay for the ride in cash.
Without a doubt, exchanging Australian dollars for pounds in cash will help you keep track of your exact spending on each purchase you make.

Additionally, in the United Kingdom, it is important to carry sterling pounds in cash with you, as although it is not as common or expected as in the United States, in high-end restaurants or establishments, it is appreciated to leave a tip of 10% to 15% of the total bill. For this, carrying small notes and coins will save you in those circumstances.

Finally, if you need to withdraw money, ATMs are available throughout the country, although it is important to check the applicable fees with your bank to minimise additional costs.

When you travel to the United Kingdom, there is no limit on the amount of money you can bring into the country. However, if you carry cash equivalent to or exceeding 10,000 Australian dollars (or its equivalent in another currency, such as pounds sterling), you must declare it to UK customs.

This declaration is necessary to comply with regulations aimed at preventing money laundering and other illegal activities. You can declare the cash using a form available at ports and airports, or online through the official UK government website.

No. In some cases, you may find establishments that accept it, but they will offer you an unfavourable exchange rate. Generally, you cannot pay with Australian dollars in the United Kingdom. The official currency is the British pound (GBP) and it is necessary to exchange Australian dollars for pounds before making any purchases. You can do this at banks, exchange houses (like those offered by Global Exchange in the centres of major cities and airports), or directly with your card and have the bank make the exchange for each purchase you make (this will incur fees).

• Compare and choose: In Australia, you can compare exchange rates at different banks and exchange offices and choose the most favourable option. In contrast, in the United Kingdom, you might encounter less competitive exchange rates and fewer options to compare.
• Change no commission: Generally, the commissions for changing Australian dollars to pounds in Australia tend to be lower than at exchange points in the United Kingdom, especially at airports and tourist areas where commissions can be very high.
• Initial Expenses: Upon arriving in the United Kingdom, you will need cash for initial expenses such as transport, meals, or small payments in places that do not accept cards. Changing Australian dollars to pounds in Australia ensures that you have pounds available from the very first moment.

The best way to exchange Australian dollars for pounds without commission is to do it online. Banks or hotels also usually offer currency exchange services, but their stock of currency is always limited to the most common ones; moreover, exchange rates are subject to the bank's margins plus commissions.

Exchanging Australian dollars for pounds on the Global Exchange website guarantees you the best exchange rate, with no commissions. You will be able to collect your foreign currency at Sydney airport within 24 hours thanks to the Click&Collect service.

Yes. Depending on the airport from which you start your journey, you will have the opportunity to exchange currency at the last minute. Global Exchange is the leading company in airport currency exchange services in Sydney, where you can choose from its more than 15 offices.

The exchange rates may not be as attractive as those obtained in your online currency exchange, but it is always a good resource for last-minute or unexpected trips. Check the currency exchange offices of Global Exchange at airports.

• Avoid hidden fees: Always check the exchange rates and commissions before making any transaction. Some currency exchange offices may offer seemingly attractive rates, but charge high commissions.
• Make the currency exchange in advance to avoid rushing and poor exchange rates at the last minute. The option to exchange Australian dollars for British pounds on the Global Exchange website will help you organise yourself. The online currency exchange from Global Exchange has no additional costs or commissions.
• Use rate comparators. There are online tools that allow you to compare the exchange rates offered by different entities. Using these comparators can help you get the best possible deal. However, remember that the online exchange rate from currency exchange offices is not the same as what you will find in a quick search on search engines. This amount is reserved for large transactions between wholesale entities.