Scottish Liberal Democrat deputy leader Alistair Carmichael MP has lodged a Bill in the UK’s House of Commons calling for Scottish banknotes to be accepted throughout the UK.

The Scottish Liberal Democrats said Carmichael will present his Legal Tender (Scottish Banknotes) Bill to Parliament as he bids to “encourage businesses across the United Kingdom” to recognise and accept Scottish banknotes.

“At present, while Scottish banknotes may be accepted in England, they do not carry the status of legal tender,” said the party.

“This Bill would enhance the status of Scottish banknotes and mean a distinction couldn’t be made between these and other banknotes issued in the UK when accepting them as payment.”

Tennis coach Judy Murray recently revealed her Scottish notes had been turned down by a bakery when trying to buy doughnuts because they “only take British” banknotes.

Carmichael said: “Every Scot who travels south has a story about their money being turned down or looked at sceptically.

“There is no reason to make a distinction between Scottish and other banknotes as acceptable payment.

“Its beyond time we give legal force to the well-known phrase ‘that’s legal tender pal’.

“I hope that this Bill will encourage businesses across the UK to recognise and accept Scottish currency.”