POLICE have issued an alert over counterfeit pound coins circulating in pubs and shops.

The coins are identical in shape and design to regular pound coins, but can be easily scratched and marked revealing a silver colour underneath.

The fakes, some of which have been found in Darlington, are thought to be made from lead and could prove a health risk if sucked or chewed by small children.

Chief Inspector Barry Knevitt, of Darlington police, said: "If these things are surfacing and being given in change to people we want to know about it.

"Anyone with doubts about coins they receive should contact the police."

Ten years ago The Northern Echo reported how fake pound coins were circulating in the North-East having been imported from Holland at 10p a time.

Hundreds of the coins were seized across County Durham after being found in pub cigarette machines.

In 1991 Gateshead housewife Kathleen Stewart received a 12 month suspended prison sentence at Newcastle Crown Court for making counterfeit pound coins.

She used information from books in her local library to make moulds for £1 coins and set up a distribution network, selling 50 of the coins at £10 a time.

A spokeswoman for the Royal Mint said the coins were easily worn and lacked a distinct milled edge.

She said: "We do aim to deter counterfeiters and provide technical expertise to the police when assistance is required.

"It is an issue though for local police and all such matters should be referred to them."