Maundy coins are specially minted in varying (but always small) mintage for ceremonial purposes and not intended as circulating currency. They are handed by the British monarch in person to selected deserving individuals once every year. They are issued in "prooflike" condition and usually remain in it, especially the more recent ones.
Maundy money has remained in much the same form since 1670, and the coins used for the Maundy ceremony have traditionally been struck in sterling silver, save for the brief interruptions of Henry VIII’s debasement of the coinage and the general change to 50% silver coins in 1920. The sterling silver standard (92.5%) was resumed following the Coinage Act of 1946.
This Maundy one penny coin was distributed by Queen Elizabeth II (together with a twopence coin, a threepence and a fourpence) at the 1976 Maundy ceremony which was held at Hereford Cathedral.