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A vegan restaurant in Brixton is refusing to accept the new £5 notes after it emerged they were made using animal fat.

A row erupted after it was revealed that the polymer notes contain small amounts of tallow - a substance made from animal fat which is often used to make candles and soap.

And now VegBar Brixton has announced it will not accept cash payments with the new notes in order to “stay true to our cause”.

In an announcement on social media, the restaurant said: “As you guys may have heard the new five pound note contains animal fat! Making them non-vegan!

“To stay true to the cause we will no longer be accepting new five pound notes.

“We still readily accept all other forms of payment ! :)”

The restaurant in Tulse Hill specialises in “creative” vegan and vegetarian dishes, with favourites including its dairy-free Oreo cake and “Tofish” (tofu fish and chips).

The decision has been praised by customers on Instagram and Facebook, with one person writing: “Respect that move! On the list of things I want to change in the world it's not the highest, but it's one of the most achievable.

“It's early days for the new fiver and it'd be great to see it go. If there's an option to be cruel or kind I know which I'd rather have.”

And another added: “You've totally inspired me to boycott them. Thanks!”

But others were less impressed with the announcement, with one customer commenting: “I get how it's really unnecessary and I've been vegan for 4+ years now.

"I just think there's bigger issues at play.

“Like we live in a non-vegan society - the glue holding the chairs together in the restaurant probably isn't vegan, or the wheels on the bus that got me there.”

A petition calling for tallow to be removed from the cash has now reached more than 120,000 signatures.

But the inventor has since labelled vegans and vegetarians protesting against the note as “stupid” and insisted that only a “trivial amount” of the fat is used.

The Bank of England has announced its supplier is working on "potential solutions" to the issue.