A nationwide art competition which will see someone win the opportunity to have their design featured on the "tails" side of the new one pound coin has been launched.

Professional artists and budding beginners are being invited by Chancellor George Osborne to put forward their creative ideas for the reverse side of the new "distinctly British" £1 coin, which will enter circulation from 2017.

As well as being able to take pride in seeing their coin design replicated in people's hands and wallets for years to come, the winner will also receive a £10,000 fee in exchange for the right to use their design.

Plans for the new 12-sided coin, shaped similarly to a pre-decimalisation "threepenny bit", were unveiled in the Budget, and the Treasury previously said that it was planning a public competition to decide the design for the "tails" side. The Queen's portrait will appear on the "heads" side.

The competition is open to anyone who wishes to enter, irrespective of how old they are or where they are from, the Treasury said. All entries must be submitted by October 30.

Entrants are being asked to "show what Britain or 'Britishness' means, drawing on all of the qualities and quirks that make our nation unique".

Mr Osborne said: "Today we're asking people across the UK to help us design the new £1 coin.

"Think about your favourite landmark, or a great British achievement or a symbol from our Islands' Story. The winning design will be in millions of people's pockets and purses. It'll be heads you win; tails, it's your design."

The new coin, with a gold-coloured outer ring and a silver-coloured centre, will be the most secure circulating coin in the world, the Treasury has said. Around 3% of current one pound coins are fake.

As well as a "bi-metallic" construction similar to the existing £2 coin, the new coin will feature new banknote-strength security pioneered at the Royal Mint's headquarters in Llantrisant, South Wales.

According to the rules of the competition, the denomination "one pound" must appear as part of the overall design but it is left up to the designer precisely where this is placed.

Designs must not include a recognisable likeness of a known person, whether living or dead and designs must be the entrant's own work.

Artworks can be submitted in pencil, ink, paint or using computer drawing or design software, but three dimensional entries cannot be entered. All designs need to be presented on a template which can be downloaded from the Royal Mail's website.

People can enter more than one design if they wish, provided the entry is completed on the template, alongside a unique reference code which will be used to track the entry.

Giving tips to inspire competition entrants on its website, the Mint says designs should " symbolise the UK in a clear and unambiguous way".

It says: " Whatever you choose as your inspiration, it must be readily understood to represent Britain.

"Think of symbols, heraldry, words, aspects of the natural world, man-made structures such as buildings and monuments, British achievements, whether social, political or cultural, and British institutions."

The launch of the competition comes as Scotland prepares to vote on whether or not it will break away from the rest of the UK.

Earlier this week, Bank of England Governor Mark Carney indicated that an independent Scotland would have to raise billions more pounds in additional reserves to ensure financial stability. Any move by Scotland to keep the pound through a system of "sterlingisation" would require large currency reserves in order to act as a lender of last resort.

Danny Alexander, Chief Secretary to the Treasury, said: "This is a great opportunity for the people of the UK to help design our new one pound coin.

"I hope that the design of this coin represents all of the best aspects of a diverse nation and that it will be used in all parts of the UK for many years to come."

The Treasury has also launched a public consultation running until November 21, which invites responses to the final specification of the new coin and its planned introduction in 2017.

The Royal Mint will work with the design winner to make sure their artwork fits the coin's final specification.

Adam Lawrence, chief executive of The Royal Mint, said: "We are thrilled to have the opportunity to support Her Majesty's Treasury and work on such an exciting project, which will not only modernise the current £1 coin for the first time in 30 years but also potentially change the way that coins are made in the future.

"We are giving people the rare and unique opportunity to create a new design for an iconic coin."

:: Full terms and conditions for the competition can be viewed at www.royalmint.com/newonepoundcoin.