Lewes is not the first place to introduce a local currency into its economy.

Towns all over the world use similar types of schemes to boost trade and keep spending local.

But last year the town hit the headlines when it started printing the Lewes Pound. Some opponents argued that it was not working or encouraging people to shop in the town.

But as the recession has hit, the idea of having a local currency does not seem so ridiculous any more, as keeping local businesses buoyant and money flowing through the town becomes vitally important.

Scores of firms have signed up to accept the Lewes Pound, including the town's branch of Barclays bank.

The currency's promoter, Transition Town Lewes, believes it is something which will help traders during the recession.

Oliver Dudock van Heel, from Transition Town Lewes, said: “Local currencies by themselves have a real part to play during a recession.

“It's not separate from sterling and you still need sterling to access it, but it helps the local traders through a difficult time.

“If you combine it with local bartering systems and trading systems you have more benefits on goods and services.

“For example, a journalist could offer to write something but instead of getting paid in cash, they would be paid in credits which they would be able to use for another service in the town, such as hiring a plumber or an electrician.

“It replaces a cash economy and is a critical driver where the benefits would be really great. However, this would only really work well during a recession and not during a boom in the economy.

“The currency is doing extremely well with 130 traders now signed up to the scheme.

“We printed 10,000 Lewes Pounds originally and there are now more than 30,000 in circulation.

“Not everyone in town uses them. There are probably one to one-and-a-half Lewes Pounds to inhabitants in Lewes.

“It is about awareness raising and making sure people know this local currency is available.

“We did a survey a couple of weeks ago to ask whether it changed people’s purchasing behaviour, whether they spent more and whether they go to local shops more often.

“We are now looking at the next situation which will be to print higher denominations of £5 and £10 notes, and we are hoping these will be available in the summer. We are looking for funding at the moment to make that happen.”

Within days of the Lewes Pound being issued, collectors began selling the notes on the eBay. One bid for a Lewes Pound note on the auction site reached £30.

The note features a portrait of author and former Lewes resident Thomas Paine. There are also some discounts available for those using the Lewes Pound.

Harvey's Brewery in Lewes has issued a special edition beer called Quids In which is sold in a half pint returnable bottle for £1, plus 5p deposit.

However it only costs a £1 if it is paid for with a Lewes Pound.

Similar schemes have been introduced in other towns in Britain and all over the world.

Totnes, in Devon, has got its own currency, Brixton is launching a currency scheme and Southampton is looking at introducing a similar sort of project.

Mr Dudock van Heel said: “There are hundreds of places all over the world who are using local currencies to their benefit.

“There is a very interesting scheme in Germany where people buy their currency at a discount and then they sell it on at 100%, so the seller is gaining a 3% benefit.

“When the traders want to convert their currency they pay a 5% fee to help local charities. That is a scheme which has been happening in Germany for about 13 years. If we support local traders we will grow local economic activity.

“It is also good for climate change and the environment as those who are supporting the local economy tend to use local suppliers, reducing their carbon footprint.

“A scheme like this not only boosts trade during a recession but it also helps to lift community spirit.”