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Quick Answer. About.com reports that the legal currency in London is the pound sterling. The official London visitor's site notes that despite being a member of the European Union, the United Kingdom does not use the Euro as standard currency. Continue Reading.
The official currency of UK is Pound Sterling, also known as GBP. It is a strong currency that is currently valued even higher than the Greenback and the Euro. There are many countries of the world naming their currencies as pound. This is why the GBP is referred to as Pound Sterling.