Mark Carney, has formally unveiled the Bank of England’s first plastic banknote, the new fiver featuring Sir Winston Churchill.

The transition to plastic notes is a significant departure for a central bank that has used paper money since it was established more than 320 years ago.

Launching the note at Blenheim Palace, birthplace and ancestral home of the late wartime leader, Carney, the governor of the Bank of England, said the new polymer note was a major innovation and was cleaner, safer and longer-lasting than paper. “It is resistant to dirt and moisture, so the note won’t wear out as quickly as the current fivers but will stay in good condition for longer,” Carney said.

“It is stronger than paper and can better withstand being repeatedly folded into wallets or scrunched up inside pockets. Polymer notes can survive a splash of Claret, a flick of cigar ash, the nip of a bulldog, and even a spin in the washing machine afterwards to boot.”

At a cost of 7.4p a note, the new fiver is about twice as expensive to produce as the paper note but will cost less over time according to the Bank because it will last on average around five years – two-and-a-half times longer. The longer life makes them more environmentally friendly, too, the Bank claims. They are almost impossible to tear, meaning there will be no longer any need to patch a torn note back together with sticky tape.

It will be introduced into circulation from 13 September, with 440m recyclable notes rolling off the presses and distributed at cash machines around the country. The event was attended by members of Churchill’s family, including his grandson Sir Nicholas Soames and granddaughter Celia Sandys. In choosing Churchill for the new note, the Bank was commemorating the former prime minister’s “bulldog spirit”, Carney said. “Churchill was not just a martial leader – though he was an exceptional one – he was also one of the greatest statesmen of all time.”

Soames said his grandfather would have been happy to feature on the new £5 note: “I think it’s the most marvellous tribute to Churchill, it’s a very handsome and generous tribute. I think the fiver is the note most of us use most of the time. I think he’d be chuffed to bits to think he was on the people’s banknote and he would never have expected it.

“He was [also] chancellor of the exchequer, but I have to say not a very good one. I think he’d be thrilled and certainly his family are very honoured and thrilled that 51 years after his death he should be remembered in this way.”

Members of the public were able to get their hands on the new note at an interactive exhibition held at the Oxfordshire palace to mark the launch, scrunching them up and dunking them in liquids. Ben Smith, 14, gave it a warm reception: “It’s really good. I tried to tear it but it’s virtually impossible. I think it’s good that Churchill is on it because he’s such an iconic figure in British history.” His mother, Michelle, 46, said they felt stronger than the old note, “you can imagine they will last a lot longer”.

Over at one stand, 10-year-old twins Matthew and Joshua Tyreman enjoyed watching the old and new notes get dunked in Ribena. “When [the new fiver] comes out it it’s fine, it doesn’t get soaked like the paper version,” Matthew said. The brothers both preferred the plastic note.

The fiver will be followed by a new plastic Jane Austen £10 note in the summer of 2017, with a plastic JMW Turner £20 note by 2020. A decision has yet to made on the £50 note.

Carney said banknotes had cultural as well as economic value: “By depicting characters on our banknotes, we celebrate those who have advanced British thought, spurred innovation, shown exceptional leadership, shaped this diverse society and forged its common values. “In these regards, money is memory for a country and its people. Our banknotes are testaments to the outstanding achievements of the nation’s greatest individuals; they are repositories of the United Kingdom’s collective memory.”

The Bank will start to withdraw the old paper fivers as soon as the new ones are circulated. They will remain legal tender until May 2017. Plastic notes are already used in more than 30 countries, including Carney’s native Canada, Australia and Singapore.“ As Churchill did, we may have to wait a while for the Americans to join up,” Carney said.

The image of Churchill on the new plastic fiver is taken from a portrait captured by Yousuf Karsh in Ottawa, Canada, in December 1941. “The famous glower of the war-time hero prompted, in this case, by the photographer’s decision to take Churchill’s cigar away from him,” Carney said.

Behind the portrait is an image of the Houses of Parliament, featuring the Great Clock on Big Ben with the hands set to 3 o’clock, the approximate time on 13 May 1940 when Churchill made his inaugural speech to the Commons as prime minister. “I have nothing to offer but blood, toil, tears and sweat,” he said during the speech, a quote that appears beneath his portrait on the note.

The Bank has warned the public that brand new polymer notes can stick together – meaning shoppers could mistakenly hand over two notes instead of one – but said the effect tends to wear off quickly once in use. They are not completely indestructible, nor are they counterfeit-proof, but illegally copying them should be a slower and more costly process.

Carney said the plastic notes allowed for better security features than their paper counterparts, including see-through panels, coloured foils, detailed metallic images and tactile features to help visually impaired people recognise different notes. The £10 and £20 notes will have a tactile feature, while the £5 note will be distinguishable by the absence of one.

The security features on the new plastic fiver include:

• A see-through window featuring the Queen’s portrait. The border of the window changes from purple to green.
• Big Ben shown in gold foil on the front of the note and silver on the back.
• A hologram that contains the word “Five” and changes to “Pounds” when the note is tilted.
• The words “Bank of England” printed in raised ink along the top of the note.

The Bank spent around £70m on the research, development and printing of the new banknotes.The plastic cash will be about 15% smaller than paper money, bringing them in line with international sizes. Scotland is expected to introduce its own £5 polymer note in late 2016. Clydesdale Bank launched a limited edition commemorative polymer £5 note in March 2015. Northern Ireland has no plans to replace paper notes, although a commemorative polymer £5 note issued in 2000 is still in circulation.

Carney announced the move to plastic notes shortly after he arrived at the Bank in 2013. However, the Bank’s notes division had been considering the switch for years. The move to plastic is the latest in a long line of changes for banknotes, first issued in return for deposits by the Bank, when it was established in 1694, to raise money for William III’s war against France.

Coloured £5 notes replaced white ones in the 1950s; the first portrayal of a monarch came in 1960, when the Queen appeared on a new £1 note; and the introduction of historical figures such as William Shakespeare started in the 1970s.

• This article was amended on 2 June 2016 as it incorrectly stated the new £5 note was Britain’s first plastic one.