Inflation is fuelling the popularity of high-denomination banknotes in circulation, according to a report published by banknote printer De La Rue.

“We typically see that, over time, higher denomination banknotes begin to make up an increasing proportion of the volume of cash in circulation,” the report says.

As the firm points out, inflation erodes the value of any given note. “Eventually, people can buy less and less with the lower-value banknote denominations and they increasingly need