Old pound coins will still be accepted by some shops even after they cease being legal tender, it is believed.

The "round pound" stops being valid currency from midnight on October 15 and will no longer be handed out as change.

Shops can also stop accepting them as payment.

However some retailers, including Poundland, have indicated they will continue to accept the currency for a limited period once the deadline has passed.

Over the past six months, more than 1.2 billion coins have been returned as people across the UK dig out old change.

But some £500 million worth of old round coins are still in circulation.

Poundland announced that more than 850 of its branches in the UK will continue to accept round pounds until October 31.

And a trade association representing small shops has advised its members to continue accepting them to provide a "useful community service" to customers.

A spokesman for the Federation of Small Businesses said:"Shopkeepers will be aware that the Royal Mint has this deadline but at the same time they will not want to let their loyal customers down by saying they cannot pay with a round pound if they do not have any other change.

"It would help if small firms knew they were allowed a short transition period to collect the old coins if they wish to and are willing to bank them, but not give out to customers.

"This would provide a useful community service, allowing customers a few weeks to get rid of the final few pound coins in circulation."

Major banks have also said they will continue to accept deposits of round pounds from their customers after October 15.

They were replaced by the new 12-sided pound coin in March.