Schedule 2 of the Government of Alderney Law provides that the States of Alderney may, by Ordinance, prescribe "the legal currency and denominations of the legal currency, so however that that currency, and those denominations shall be the same in Alderney as in the United Kingdom; and prescribing those notes and coins the tender of which is a legal tender of the payment of money".
In normal use in Alderney, Guernsey and Bank of England banknotes and coins circulate side by side year round, while in the summer tourist season, Jersey notes and coins are also common, as well as Scottish and occasionally even Manx or Northern Irish notes.
Alderney coins are widely available to collectors but not in general circulation. Since 1989, Alderney has issued occasional commemorative coins of £1, £2 or £5 face value in cupro-nickel, silver or gold.
A very rare 1 pound banknote was issued in 1810 by the Alderney Commercial Bank. It is catalogued in the Standard Catalog of World Paper Money as PS181. 1 pound. 26 December 1810. Black. Alderney coat of arms at left. (see 1810 £1 note)
- Cuhaj, George S. (editor) (2006). Standard Catalog of World Paper Money: Specialized Issues (10th ed.). Krause Publications. ISBN 0-89689-161-5.
- Baudouin, Lamine (September 2006). "ANNEX 5: Third countries using the currency of a non-participating Member State – The Channel Islands and the Isle of Man (footnote)" (PDF). Monetary and exchange-rate agreements between the European Community and Third Countries. European Commission Directorate-General for Economic and Financial Affairs: 70. ISSN 1725-3187. Retrieved 2008-11-06.
- "States of Alderney Alderney Coins". Alderney Government. Retrieved 2008-11-06.
- "Guernsey banknotes Guernsey paper money catalog and Guernsey currency history". ATS Notes. Retrieved 2013-03-15.
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