Local Money is an exciting and practical guide to creating local currencies - showing how they can help us unleash the power of our communities to build a resilient economic future. The economic crisis and the bailing out of the banks by taxpayers has made us all aware of the vulnerability of our financial system. We need to think urgently about how to reclaim the power that the bankers hold. In past recessions and depressions across the world, communities have done just that - by creating their own forms of money. This book is an inspiring guide that helps you understand what money is and how you can create money that stays in the community - building loyalty between consumers and local traders rather than losing wealth to the corporate chain stores. It explains how alternative currencies can work with local banks and credit unions to strengthen the local economy, supporting the local production of necessities such as food and energy while helping to reduce the community's carbon emissions. Local Money draws on the long history of local currencies, from Local Exchange Trade systems and time banks to paper currencies such as BerkShares, Ithaca Hours and German regional currencies, which circulate betweeen local businesses as an alternative to their losing trade to the big box retailers. This story culimates in the development of the first Transition currencies in the UK, the Totnes, Lewes, Stroud and Brixton Pounds.