The Express. — London, England, 1847-12-01 00:00:00

r~ h L 2 X ank did net ague It. Not es in 1847, whoa tispereial heases, wig ft • coarse of events wWk him la HA hod wily meeeded their credit. lied lits ideal lige whisk Midi the semi of OM might be deselled eit Os twig pit Is the essmansial oilseed the esealey4 La it seusaii them bed beet a waited eMeneha if mei yeti the Beek of ingill had the Milmwasserist ot 141,111.111M1L of bake, and a nonce of 9 um Hera the Mete et tha Beak the ' estlmes ° ls' ,000, et 4101416,016 c et eaphal is the die el bib% sad mated he the permute et In* He beliend, lies Nat at stet thee dire wee MI areatulation of new, di► pets ha the loads st Lodes heirs, which oiled ilea to add le the belie ofdiseesrlas. The Lever of lOU tied, sad I Inner see cry to Import lisle* Xs the re- LW of the mph; mid It Ina the la 1848 that - ale Isereard domed ea emit of name tisk pleas ; red Ohm it me he the it lie IBM Me ilia at geld wee poll This was the eats etehleee prolliss leers_ the Maar of that yam The dart et phi** on esehrhed e bat the sio sew et *sink of Belied was so large Oat they wen ambled ba am the issued excluded, Rem that owe oils. Bat me step is lima by the Bask M Bacland, or by ea**, Mat se a weirs to the miry. In January the Bank rebel the rate of Wise to 31, and then to 4 per cent , while the dada et emir for railway' and corm continued to isamee, mad as effeet was to rein the me of iereet in the essularelal world. A notice was published early in the month of April by the Nib Weis Railway, whisk OAAIMILOOIi that on tie Ist My et May the inner would be h a m:at. on all needes beerowed—that being the by law. The Bak el Magid at the sal e tine i *dad dr *rem M 5 per AIM, es t this eine the prim al, which, es he blase stead, was ia bh mien sensed byre Bank of Mg- Mad diet irprodeadr lett* eat the army they had Fedi br the payment of ffiehleads. The alarm wee Is eases& he a time by the state et** Biagi Bill market. Best mein thee dm Zit wee WI discountiag at 6 per rest., sad that es the Mk July the sees in the bends of the public wise 18,900,0001., while early in Jose they were only 18,250,08GL, he did not know upon which pound it was poseible to as that all that time than was • deficiency in the circulating medium or the miry. There was no based upon the Beak for dienunte, and re =he dram, while the moat at in was la. law the. whoa there wee a wiry elearitair The Bak, lewever, kept their dr omit, sad es the id arm het ' they Meg M 64 per mat. The frelot doper Mm ar *hie stele eftitinp took pine est the likk of Asp* o Leslie mad Almada failed on that day : end It was a remarkable feet that sheet all the beers that had failed in the first helms we largely geigaged to trenestess is sera. Bewail' May sad Septeasheile pie of sees tell se ler theta di per am. TM imenrisas this were mei ta May were mast MIA- Wel* sail eldhseeph Is we a* pert of his duty m wars =Plod Br eilleamme a thaiz over-aposlfty se se eppertualty lase aim to state to the bean the extraordlesey emit of apetadades that wee ring es. He came to lewd may in September, and he Stead the general imprimis.' was that the *lane were to be eisonated for by the stale et the earn trod*, end the mimalculetiotu which had bee laid upon the snit. That wee his own impesia, sad an hon. Mead of Ms in that house had reseed him that it was also the impression of some of the lime briber. of Liverpool (from **circular of one of whom Kr. Uffibedsle, the right 'hoe. gentleman read en extraci esenbeestiss the issuratice.) Failures, however, were not esallast te the eon trade, for throughout the mouth ef 411. neriembert mintinned in melancholy succession, and in ell if trade. But were they to be referred lea is the circulation of notes 1 It was imps - dide to make that the teet. Early in Sep- Wars loather eminence took place to which an ex degree of importance wee attached. He alluded . te - rsdramose which were made b the Bank of up to the doe of the payment of the dividoads. Hs did set bdiess that that had sins say s emeninn to perms is the wow market, blt wee the habit at the Beak to do so preview to the payment of dividends In every quarter, and it would Unendingly incasement the thee balance should remain is the Bash. It wee notorious that during the period of the mist of the dividends the notes always decreased towards the ales of the quarter, and increased upon the payment of the dividends. Accordingly, on the 17th of September, the amount of notes, which wee 18,900,0001. in July, went down to 17,840,0001. ; but on the 2nd of October they rem again to 18,712,0001. ; so that at that time they were 200,00 W. lower than when the pressure occurred. But the mere amount of notes was not the only test, and he again referred to the statement which was in the hands of the public—he meant the private securities held by the Bulk. The Bank held on securities, on the 24th of July, 15,300,0001., and the accommodation to the public in the time of extraordinary prestos had risen to 21,2650001., being an increase in the mouths of August and September of 6,000,0001. If he took the amount of securities held in former years on 2nd October, they would be found to be is 1844, 10,5000001., is 1845, 15,000,0001, in 1846, 15,000,0001., and in 1847 as he had stated, 21,250,0001. He did not think the inierame to be drawn from this wee, that there was a short mesa* of note in the hands of the public, or a short amount otamemmodation afforded them. Witt regard to the country basks, it wee found that the issue we only 200,0001. mon than in the preceding year, and a milli below the limit snowed them by law ; and if the demand had been es peat Jar mere circulation, there was no reuse why it should me have increased. In Scotland there was little Mimes is the circulation in August and Sep. timber 111401 sai 1847, and the only country in which there was a peat Mies wits in Ireland, where there had ben . Up to that time, and during the =rnahstee:ral7 ao firm n, (Ye Bank Inever refused to discount bills whisk ran wads that rules, and which they would have reeended ia Ifilftla Wes, though they Charged a higher rat* at hem* He dinght he had thus shown that there were stnsg glissade hr belief that up to October there was az=et ads, and no great difficulty in at the Beak to the shape of dialia b4li tti Meares.. BM its had said that they believed that the pawn we rad by a drain for purposes of trade of and** artild, sad whet he had stated What vet asionnt Tee ilia MGM allitilA the house would see that tie we sailleient ems to amount for the proem& Hs mired M the mos which had been paid he tiger ' ismer NM He teak the mat of tka eorn as it had *ea He had bees reedited with a rough return, led ta l t ill inteelled Mr. Porter to emit what he had due with pest iris, sod he (the Cheaseihr of the Exchequer) bed peat illiell in its ateureay. The sum paid for corn teem Moe, 19116, to Jen, 1847, we 6,139,0001. ; from Jan. 13 July, 14,184,000 f. ; and thee emu what would recount la the peerre, the cost trees July le October wee 1111 great as is the brow eta enathe—da, 141M0,0001. ; makiz a tt our if era *paled ha liana inn* he rend a 33,0010901 ra like =mar the dread ter mita ito a& wan bad beinseed. Ha whited to aim* • mark *lad aria as a ham mans lastaillai the I eroamatillitred ea va la 1641 sad IS* Behr Mad thine to trve/yr,470,0001. end 150,0001., whirrs it was 4,600 1 = in each year. la 1844 it was 11,81111,0001 ; in 1846, 14,100,0001. ; la the flat half of the year 1848, 9,800,0001., sad in the semi hellyesellB,Bll,96ol. Lathe** halt of 1847 it was 25,770,1101811. i tenklithe west had pm ea at the MN rate in the lost hall the eta would have amounted to 38,000,0091. Iles this me set strictly a eking of capi tal, yet tho what mit ei sesbel which was limited to these me botwees 119,980,0001 and 90,000,0001. He set >A spat wh it he had already stated es the ea** et redreadu He did not rim their MOM or advantage to the they gave, sad the product to Z i t same lla Verred Try*, *arm if the of edible ihiss. weld silt that the maw enrinot be aril better assaded; he that we set the pride& The gem lies we that dry tern one car et esmasaral perm sad et the eteleadies et capU il lad* bad bees bane op plied le oreasield misep,r*. What ke rid wee thrift we • esonseein if draw capital Into id ash* (How, beer.) K. send err what had bra add by the flair h em. geaderre the member he hatband, .11hat it would has bees briar it ems earsordel ara ler sat spented Mile e n e li ZZ: bat whether ardel whir bsilario bees i f had not Walden, art varier the et and its eireeelos teen Ilistbsiat• feed sapildwea an me of the akaris adas t width the perm was easeeil wee the point to te (Wm) It mu pelaiM ee sprk di insolicy etneene, wi* send 'lifter lhe hal bees eanalated, sad Mira he reeptibi sad asested. Hs might overrate the Abet et their I=le steel dole OIMPINIIIIII, but be saw is • by Sir J. dkitise, that it was his opiates =fro et dr Ms* whisk had failed had for jean been =eapild * wry en their briar& Irked neer et system se luta* the leulle with India had bees serried en. It ispared * be sad* se h. via a view to pa est be the se • ash el ribs sissey, by the orestlear iille. (Rim.) Peron wee thaws at '9 or 10 amid* reed the lightest her to be isms iby the pertambreter and an by the beta., and than pae llas, dmgk net sew had Ina andel la a peat err; sod* dna as mall porlin el the *weft atteebed to • San trade me wisp He aimitted 111* trade must be nr dr ea prey as esphal sad pertlyaa erode, tut there must be a dm peopeetlea et upon to rapport *a superstrong:* el seat irithk me brit upon it. (Hear, beer.) And whoa prom reediaped how proper limits, be was of aid they mar pey lee p1i01A4 . 5 .0 4111it MU aide, nor did he Wine that eiyhne it which wee Mot espitel— add pelmet er awn ear r eenesposoes. Those large Mem bed teed beans the polseibrokers could not pay *sir Met they mud set, beano they were overdone wi th sesepteares. They had amid at • being width h Istbees Ist bees repebehul ib Lemattee, of wilt the °Measlier of the bed bees a mesher, and the while gyres been bard on that harks hip sure et man at NH with bill brim Thet wee thenahn, It we Mme, en which tikes we aid es, he ile adity, la that ere, coiled es the emir di st the the umber of the depoillers, TINA rerterai It that all the &pore would be withdraws el ism the peer* of then house wee dieseeteledb , ete dlet p the larple. elrezz i n ks wer• WildralkWb, sad Ems treaid tedlere r mp ime res te withdraw would ranee iss all. NO itbstirs Soma ONO brim me earried valta l rears s o tine f e e at iii, be the essned of h or . l was et pleed at what had r a mjet/;' -w e itse pain us e da• Royal Bank of haft is* alarree to one penon--(hrr ma , o3 tar is 4 sir;ol ft imam &dr orogammads on and ft flair Mlle* llot l / 4 9 ens ia aespird drt howevee I Wald assuppr la tir t e is lees et meet breirlisa. Ho wadi . rap be ttitse i. bad be (dr Ohnear tif Se UMW. teem iliilt bill bllt il l .air atwillilla la BM ela randiklist ee she paean "to had beret Irrs l asesiterad tin& Ass winner the realer dr. nil* et It Todd Da are la hie to do ;: ' mikv , tuti le thle *plunk sad Ira 1144 Yoi 111 0" • . , • : : :, mom awassaa Ni 7 gi irc,;,w,eirr lifr i... ~.. , s ledge whist *tilled bin la doing it. i theaght situ be eases, the booms would be is a amid= to judge te old* et the two soon the flaw et ilogiessaber and Omaha woe to be attelhated. It had bssa all am the it. basil death T i p: the Orbited spends& el dr est el Mt "disk the Ines eit anis by Os Bask; Age, en la boa la nehlehel h waned psis pay *the mein .swiss d natlat, sod the wan Oahe. Tune He bed aura dot the. had had re• weal of ell ski) what aims' of WOW had base windmill has lade, and ha wadi Opal ie may keg* del sad aloft ass te say to whale al than apes Os es wen MAMMA* ? Gnaw ma assorenes hat lnk ease wbisk alon ths flolisc el poems la ths 1 01 W Hedy fttesnlor led hems useslooid maks adman he • Mad tine sot ef the guanonat balmier la ask hair et name it ash awry be be • naked don he the ahem= was nee oat at the lab* mow obi* bed sesonalead be see mast of do *Mewls. Th e Bask pies meths re st would great hams till Id* Ostabsr. They sera each a sea ss *ay thought they aseld with sal*, art dr &mead he sham bet wady seams& Bet so Vane lest days of hipfasabar dose was as 3ssaandlosay hams d &mad to theasami Imam* of • rim of abut MOM as Mb S eer illansentsd to 150,0001., and it 1111* to MAW. assa ion widish they could make does adeseres was limited, sad on th• had of October they bead • notice that it was hoed impossible lemur the amount at advances, and that they shout anon by the time the dividends wean due that the Issas would be repaid. The whole oasenameisl weld was h a date of surprise at this, as it k mu as as. mad and as at tpritillable a stop as wee our Oka. Oath mesa is the City would, he hoped, forgive bin if be said dot be wee astmeddeed how any man cooldbe nrpdsed at it. Tbe hos wet advanced from the goverment amen saw anktsd tar the payment of the dividend', and lean be had stated that the government beldame would be It wee said that if there was any deficiwasy of ties, it would be mused by his deader y bills. He shad that It would not be so, for whether he kerrowed or ace, there would be • large amount the.., and the offset would be the same for the aceommtodation must be withdrawn at a given time. He said also that if the Bank had large government balances oe their heads they would lend to parties, and the loans would be payable when the dividends were due, and at that time and whether there were deficiency bills or not, the effect would be the same. Precisely what he maid in April came to pass in October, aad it ought to have taken no one by surprise. There was a neral impreesionthat the amount of the loan would be run • I withdrawn. On Sept. 25, the aggregate MIS 4,928, ,17 and on Oct. 9, it was 4,544,0001., and the only thing ;thiii Bank was bound to do was to see the loan re. paid. When ho (the Chancellor of the Exchequer) came to town on October 22, he found the City in a state of panic. He saw persons of all classes and description, from the time he was up until he want to bed, sad he never passed so painful a week. The iaterest of money rose to an exorbitant rate, and 60 per cent. per annum was charged for what were called continuations for one day. It was thought impossible that the loans could be repaid, and if reliance for the payment of the dividends was plaeed on the return of those loans, that there would be a disappoint ment, and that it would be impossible for the public credi tors to be paid. The next week came, and the dividends being due the loans were repaid. The Governor and Deputy-Governor of the Bank acted with extreme pru dence and discretion, and received the payment of the loans, and on the whole they were punctually paid. The notes which were paid in were issued in pay ment of the dividends, and the result was that in this ex traordinary period of demand for notes there was taken out of the Bank in the four days for payment but 300,0001. more than in the corresponding days of last year. When the par ties had • right to demand 7,000,0001. extra, they . only drew 300,0001. more than in 1848. The gloomy anticipations of the week before the :payment of the dividends were not realised, and in spite of the failure of the Royal Bank of Liverpool on the Monday following there was in London a better feeling in the early part of the week, and one of the papers, In its money article, stated that matters were steadier although they had been affected by the failure of the Newcastle Joint Stock Bank. There was a decided change in the accounts on Thursday, Friday, and Saturday. The payment of the dividends did not indicate any improved feeling. By this time, too, accounts were received of the state of the country, and from various parts they were very alarming. On Moods,' the Royal Bank of Liverpool failed —a failure which was only caused by gross neglect, for, with a paid-up capital of only 800,0001., 500,0001. had been ad vanced to one house. At the same time apprehensions were entertained with regard to a broker whew name he bad men tioned. He applied le the bank for assistance, and they gave it. Another bask misppel at Liverpool, and apprehensions were entertained bet dj salty of other country banks, espe cially in the teammorsial dints* for in the agricultural perm of the sesatry they bed been comparatively at ease. There was as alarm as to this banks in the west of England, one of whide led sinoe failed, mad was reperted to be likely to pay • vary small dividend. News emu of the stoppage of the Newer& Union Bank on Thuniday, mad later in the day there IMO speeounts of severe rase on several district 1 hanks. Alban had been made te at amistente given to that hank. The fact was that Br. Rielerdson, the maim, alas to London to get usistasta from the Bank of Ragland, and lob without obtaining It. So fu wee it from beteg tree that there was any recomandedsa tram the prerriatont on the sub. I fest. It was On that en book it gavel by the interfe. MIN of the hook beak et the Basket Bucked, and Mr. Grate took as landf a ihmead rupindbility, for seeing the imager that woad aria, ems fa the aa. of the country, unless that be was saved, ha fnais_ it with the means of standing the run whisk was made on it on Friday and half of Saturday; and parties who had withdrawn gold and notes in the morning to deed them as re-deposits in the 1 evening. It did not appear that there was a run for bank notes, but a steady ran fox &polite on the banks of Liverpool and Manchester in the course of the few days preceding the I Thursday and Friday. Then came a fearful aggravation of 1 the supposed . It was a matter of notoriety now that ap licatiotsrsystems bed beam made by the banks of S It s e w i te m cerally essidered that those banks I were on so mile • that they were able to take care o f I themselves, sal that t ey would not find it noceesery to ' apply to the Ink el England ; but applications were made, and amend mask alarm. For when it won considered how 411111~81111111 deposits are—(hear, hear)—in the Scotch banks welsh amp be readily withdrawn—(hear)--and most at which ere sods as amity which, though solid, is not I mar inlaid, one wee Just eatia• for alarm. (Hear.) The ilsainds ore the Bonk of /Ittihad be assimemas, and on the Imam lislat r ezis s t theme ourespealman were extra. sive. Two sad adios were peralysed, ' and the whole dleseast =lll.l thrown on the Bank of Bwitaesti, lad they serest Se &count no bills which came It rake, _bst a Imp Gass of paper, which was nessay done by 110-haeloss, was refused. The right hoes. sadness, tbs Lard llmmer of York, had referred to the =f t ßolattratt Bills, bat be 1845 they were at a lower It k Gibber lese. Compare them with what they were Is 1847. In Mr. Tooke's History of Prices it wee stated that in June, 1847, the period of the pods, they were at &V discount, (as we understood), whilsla Nabs, let they were at 30e. aliment. This won do state at dings whisk woo represented to the govemansat ham all pier etas esontry, and • feeling arose in 'maser del iset the last likely to be bimeed, who MIS W *snood whims spasm they took, that matters were grow * arks. Naha rem assure was adopted by the govern ment to mean essibleace. He did not diney that the statsmsde wheat had been laid belen him were slmalag. He took pains to examine It es eitgaiy, awl he add not hey that nest ma wills* art most rshadatly be one to the casslakat thet ft ma le Mahn, sod bluing PIM to thst semehoisa, be sheeld hays Omagh bhadtaiweethy of th• pleas be MU it he bad badtaisd, ow* to may former saran, ella ewe, a *what he thought bis slaty. Not coly EH ddak the eurche of this dburallsa ems required by Ober drammeatessa bat it was evident tbst mates had boss bands* Its a great extent, and a denied= width, sailer Ohre eiesosemnamea, would have bout ainsets to its =.B2and who the pramure ar peak we 1116111M11 C—lrealil bamprovedalsordeast forts bjects, ..._Lae . . waled by dds bronilag hos parlandng its Asa prof et Oda ten haumeals of notes stad been beaded be the hassled ben brought into chtudedon ; mad who*, hews naestbeued It sada 400,0001. was the Nomad east= hikes out el the Beak •IBmeaad after the ll* at Wain 11 fasidtad a nest that *are was an ollsaate soma* of desolation is ilts Mai of the public, bat that fesma far sod alarm it bed bees boarded up, and thereby 141111411‘11 lasepable of Wag brought into use. (Hear, bear.) Br aids friend (Lard J. Russell) and he hid seas of all descriptkos, and the uni argil inpliestW wilek had been It to his noble friend soil limit Was to this Abet : —They mid "Ws • de eat wen sets=-what we hairs is that yea *mkt glee as sarainss, It is *ay be Ira, to my you will Mod by ea a las be the Wadi eh will give us era MINIM Wide met 'west noels, hat only to know wham we um pus that." (Herr, hear.) They added, " Chine any Mart intase=tee, esit what you like." (" aa," ibtaa Xr. lipecon. bra. geadman said No, zu., be (ths sl the IBlltipper) must la pur ls laity whet had boa stated to him, and be would say dlsdastly It wee the etalleat tenor of the gplimageas whaled boa nide. He repeated, that they mid l " Oar. 10 ass IS per seat. Interest if you like—we do not non a take telly but let us know that at some rate of Land vs as get tha n and that will amply suffice." An Mans bit hail ulna the other day "An bad barn the shay it dreramilemon which bad *hoed the peerament le sat Mad* be • manses Mont lan the coarse they had alp sal bat • short test Ulm: la reply to that lime doe, les mid now state that the annsts received on the Taman, Friday, sad ftaleseg bed boo of • totally al knot denelption fun Ow elf* hi wish* diege, aid they as bed believed that eerie to the wags ba lid skim* quasi has Hr. Nakkees. they ha arne Se tbis —dad • 'hymn dradatko waned life—it • d dap it. ame amborsmed, whilst than maw osLsitlms mad bided to Imam the general approbation edges ataxy. It it bosun on that &thrday, and sat began that,l i t sa zl his nib Mod thought it right sad proper to act, bi e tha they TIMID PIIIMINIsa ihratation which aNatled than a tatitaitin hr the Addles of the Mahn (bee, ken) Having determined Se sat /a deo sairmay, of course the eat quanta what bad edema was Os mode in which it should be don. He sad Ids adds Meal had long Sohn considered do mat e•, sad beg math op thdr Wads as to the beat mods et astir' be one ads. *mkt bona assemszy, sad be *WIZ tan glad if *me bad bus say nabs el asdrea ' dot bare WO silleauel, ether lima th at whit sty bat It bad hese seggeeled that they ought to ban abased sahnesr loe it on ash produce, bat he wee all quite deer Tobago albs the sad pregame were astral is adeabis es „ so—ead„ deinlipkthet Tads adhs hive Mei ba Gene euelmg ea el/e'er tanealaog e'vaer/Ag •.-.mmuor w. " 'HE EXPRESS, WEDNESDA rethr ea allure of threth, sad a third waopethea thet Othilwee of orta esterst gessawarat would II"- Idea* tee = l6 abil mr 66l l B 1. wet li t Wass la a way width they Vali gm wo o he g ill : Mred •MA therefor* hares pi ` da, la that maim whisk apperoa rhea adorer, they believed word be as 'Minn (Hoer, hear.) He met she irks that ft able poZiPsa the prim who had applied te the roverammt to samelisa theism Of err blies tray, _it woe dated it ward ha wastrielli c aierery hied aim Bath sherd be pat upon Is air the ithiesdem was that a bereethe &daudte amount of amen &rid third with em of erest. To airlift there was , ,he thought, a dollar rd t int ug 0 0. joellem—aarely, that there word have bees a swerable for the Air mad mond million, sad that r suraithat was OM the SION Nate of things would have marred again. But If they were not to limit the arum of notes, the other, and he thought the whew, esdea wea, that a Beth sherd be put cm the rate el Werth This WOW had bra ailagisa, awl he the rosarreedatisa rade to the Bank of Imaismi the a With rata of torseth brew if a high ' rate of tamest had not bra aired they word have done that veld* would have bra meet mievomi--namely, to check the famptetallon of capital and bullion into this coon ley. (Her, hoar.) At the same time, he (the Chancellor of the ilmagsgeer) had bum as anxious as anybody not to farm • •••• a Merest higher than wad necessary, and tliarelheeleelead of edopreg a minimum rate of 10 per they cent., th led eilepted II cent., the lowest amount suggested le the presaesal by the applicants being 7 per cent. The sub of 7 . 4 oast clearl y . wo d not have pessem the weer which wee in view, for when the isle hod bra Axed by the Bank of England on the direeres of the govenuesat at 8 per cent., what was the Me airliner or of dear? At that time the rate of lathart at Harabeari wee 7 par osat He held in his hand a War he. the sewed at Hamburg, dated the 22nd of Nether, width Mir that them the dssoounta there were at the rate re sled 7 per seat. per annum, and it was not leas ino.:2 7 part of Barr. At New York, on the 30th of , before the intelligence of what had happened here had seethed that weary, money was in active demand them at *errs of 7 per rot, and in some cases higher rare bed bra paid. Agate, though the Bank of England bed thesestatedi a small amount of bill at 50 per cent., yet at the tire the letter of his noble friend and himself had bra thersed to the Bank, the average rate charged by the Beak was 71 per cent., so that the real sabot to width that letter roiled the rate was use more Ilea Wiper cont. upon the rate then charged at the Beek of Begland, and one per cent. upon the rates on the .attend sal in America. It W.J. desirable that capi tal sad hellion should be attracted to this country, and it was may by the attraction of a high rate of interest that this desideratum could be accomplished. (Hear, hear.) He coseeived, therefore, that the mode in which the;govern meat had acted was the one best calculated to attain the end they had in view—namely, the influx of capital and the importation of bullion, and thereby the removal of the penis . But it had been said that the government ought to have left it to the Bank of England to fix the rate of inte rest ; but he thought it was much fairer, both to the public and to the Bank, that they (the government) should take that responsibility from which neither he nor his noble friend were disposed to shrink. It had also been remarked that the government ought to have made the increase rate to apply only to such portions of the *d rain:ea al were mask by the Bank in consequence of the let. ter. He, however, contended that it would have been ut terly impossible for the Bank to have acted in a different spirit after the receipt of that letter, and to have drawn a distinction between the advances made in consequence of the government letter and those which without the letter would have been made. Again an exception had been taken to that paragraph in the letter which referred to the extra profit being carried to the account of the public, but that was inserted for the purpose of protecting thu Bank, in con formity with the 6th clause of the act of 1844 a clause inserted at the instance of the Bank itself. He thought that the purpose for which the letter had been issued—not to create capital—not to support credit, which had no security to offer, but to release the circulation which had been closed by fear and alarm, had been answered, and he believed that those engaged in the commerce and trade of the country would admit that the effect intended had been completely realised. (Hear, hear.) He did not mean to say that parties mg not have been dis appointed that they were not released from the position in which they had placed themselves, or that others might not have expected that something would have been done that would enable them to put money In their pockets and to carry on concerns which they had not means to support ; but he believed that the great bulk of the commercial world, by means of the confidence created by the letter in question, had been enabled to use those means which, when alarm had been allayed, had been found to be perfectly adequate. No doubt the pressure had remained, because it had been caused by the stances to which he had alluded at the commencement of his . . Observation,: No doubt failures bad taken place, and might still take place (for, after the assurances given in the sum mer of the sound state of trade had been so signally falsified by remits, he could not say he had any great confidence in any particular house), yet the government bad succeeded in preventing a general failure, which at once would have been fatal to the country. He was happy to be enabled to state that orders from abroad were coming in, and, from a circu lar sent to him by an eminent cotton broker in Liverpool, he learned that a decided improvement had taken place in the demand for cotton ,• that the state of the manufacturing die bias was improved; that an increased number of mills were now working full time ; that others would more or less follow the example; that the number of operatives employed had increased, and there was, consequently, good reason to hope that distress in the appro aching winter would be averted. This circular was dated the 26th November, and from it it was moat satisfactory to find that exports to the United States were considerably on the increase, and he observed that to-day a considerable amount of bullion had been returned from the United States, and be hoped that goods would be taken in exchamge, He trusted that this showed s state of things very different from that Ode of shame, bankruptcy, an d disgrace which had been pictured to the house a few evenings ago. He believed that the trader was now enabled to meet the demands upon him, for an enormous amount of bills had been punctually paid in the course of the last month; and he believed that the general trade of the country was at the present moment healthy and sound, and that they might hope it would steadily and slowly, but surely improve, and survive, and that supremacy of British commerce would again be maintained. (Hear.) His belief was that an earlier tater femme as le part of the goveriumme weld not have at tained tho aid they wanted. It would he reseeded to tb Ltrirthat it was no light matter for them to overleap v " hilislhad been eimed by an overwhelming ma jority in pealhonent—that it was not a light matter that they should be firmly convinced of the necessity of the step, and they should have good MOMS to believe that the represents hone made to them were bred upon a solid leondatioa. In April lad a pods had pansided, and the nevernment hod then bar ten that hem 4000,0001. to 3,0,0001. most be sent to Limpet ia maw to saw the eteaseethe of that town. Sown, en advisees had bees wide, as Idhwee had then takes pin" dae alma passed off, sad it was dear that if the govertumat had then yielded, they would have theelded without resaaa. Hear, hear.) The main mute of prewar, was the want of capital, whieh the government could eat asawnhe to supply ; but when they bad been nonvineed that the was beyond all human calcula tion, they bad AM Oaeclvea justified in sedan; and he ba dhows they had acted mooresfully. (Hoar, trae i r nit lid lea urged that they ought to have acted tsar OWN lent sad that it was the duty of the Bank of nigleral Is nessoMd every bill that came to them. They dld 110_ bet Shea podia said it was usury to charge awe then id sr d per Nest. If each demands were con ceded, it wee maim to talk of the convertibility of paper. There wadi Utilise, early or late, when the Bank amid have been meandiell to take some stringent stop ; but it was said that oath a step wee unnememry when the Bank MA 11,000,0001. of pill in is coffers Why it was the pow swim of that cam a11i,000,0001. that gave eddy to the else which woe Mita (Hear, hear.) The poverwasat hal feltany assured that with ex changes in &mar of tide m, 8,000,11101. of gold in the Beak, that them would be a ll iwa d hanks into this soontri harts any drain esaldinaMeasthepoliiin the Bank. Awl limbs: were they heffebta al i le the isthowisa of that 8,000,00 n, but to the apstallea ad sink& (Heir, bear.) If the Bank UM IMO Si deillthy the mouth di counti ng at 44 or 6 per old, what dials weld have bum gives to over trading Ina Obleowrisa at i I If railroads odd have ai pa ea tad 6 per that by as tudismild Wee of WWI, they skate would have swept away more than the whole gilealadon. (Seer, hear.) If by a drain of henna the amount had been dim skied to 2,0001101, or 3,000,0001., mold= doubt but that, Isaac the alarm and want of whisk aided st the there would have bola a nth apt the Hoak 4phi I Wastes lamina* had them that ask wadi lave been the use, sod, lades& &tells( the they bed, fie presumed would have beta in imminent doge of Wag essepelled to suspend awl pay mosta, emit to Youslidlationt for a bill of indemnity. If th e , bad i mam sbas r, it was to the operation of the ad el 11M ASS di17•11/4. ndebted. (Hear, hear.) He was ad prepared to say that he thought all the difficulties and all the proems wee ant He had said last year, that, , from the changes which bad. taken place, this country had a hard time to go through. He was of the same . opinion still. He did not, like some, attribute the present pressure entirely to the adiption of free , trade principles. There had been the pressure of a panic in 1826 and 1837, under a protective system. Now there was a mows sod a panic in the state ef chaege from protection to free trade, through which the country was now going His belief was, that when the system of free nude was fairly agalained, the prospect of the country would be fixed on a Imre belle than ever; but at the same time he never had i sapsead that the change would take place without being so . oompundad by some evil, Neither ought the present stare daisy to be attributed exclusively to the act of 1844. Why after the passing of the act of 1819 there was hardly a cala mity which affected the agricultural, the oommarte or the manufacturing interests, which had not in las' man ner been attributed to that manure. But now the majority of the world considered that the act of 1819 had operated most beneficially to this country; and in like manner he satin that whoa the premium of the preprint time had over, and people looked back at the events of the last few months, they would he inclined to entertain similar opinions of the act of 1844. • complaint had been made that the operation of that ~mere had not saved this country from commercial rend , doss and distress. He for one had certainly never held out any expectations that it would do so. All he had said was that it would prevent over speculation, by the absence of ea ill-nnethsted currency. Mr. Jones Loyd, in the pamphlet he had already quoted, mid that to guard against commercial ; turtalsions wee not the object of the bill. That was so : the G, DECIMBER 1, 1847. Awn was to oesaWne a paper with a metallic currency. T wan otendiens to a mistallie currency, inasmuch as it simian the steepest or soar ONlTgeliait, but it was the Mos dattetur_eM of the twaser:mumeraiel own. billarepe—end mad And yet thou • rrbad met has Iles reenhiona , ' that, under se c : a i=a, inmeadon of the currency was prevented, was by dmovents of the summer of 1848, when • amount of seta was issued. He had nem et thought that operation of this spasm rwY be MAW than it woad be ander a metallic canna* Whatever wilt might happen under a metallic currency might ander this; whatever advantages might be attainedatra ms4ltlo sameasy might be attained by this, with the certain addition of economy and mare name. It was perfectly clear that the amount of reserve in the Bank of Eagland, in the summer of 1848, had prevented any *aloft on the notes in the hands of the public for some considerable time. (Hear, hear.) It was perfectly con sistent, he admitted, with the provisions of the act that no such action on the public should take place; and there was, t th it e w bluk ould t tk o e i r: t fo o re th , erwi no legal th. o n bqa e ti y o i lLupo do n ne th• direc t ion th o o n uic o h f hare been wiser and better if they bad given timely warn ing, and had taken longer precaution. (Hear, hear.) But the obligation to do so rested simply upon the discretion of the directors of the Bank; and he was far from saying that that discretion had not been wisely exercised. It sou utterly impossible that an establishment which pos sessed so large a capital should not be meet power ful, either for good or evil, upon the commer cial interests of this country ; and it was a matter of vital importance, that the management of that banking etablishment should be conducted soundly and discreetly. (Hear, hear.) He feared that recent events had somewhat shaken the confidence of the public in the direction of that establishment. (Rear, hear.) It might be difficult to ang gen a mode of improving that direction ; but he was certain that this was a subject well worthy consideration, and might be a fit subject for inquiry in the committee he was about to more. Though the bank charter did not expire for some year,, he believed the bank parlour would be fully disposed to concur in any measure which the wisdom of parliament might suggest. (Hear, hear.) He believed they found some difficulty in inducing persons to undertake the heavy resnonvibility of the office of governor of the Bank of Eng land—(hear, hear)--and he was assured that it was a subject to which the bank parlour would most willingly direct their attention, and that they would gladly co-operate with par liament in anything that might be considered an improve ment in its management. (Hear.) He was anxious not to go further at present into those controverted subjects con nected with the currency; he had referred to them, as he promised and intended, no further than was necessary to illustrate the view which the government took of the pre sent state of affairs, and the view which had induced them to pursue the course they had pursued. He was not ignorant that many men of greet au thority, great experience, and great practical acquaintance with banner, differed from the views he had ventured to state. He believed they differed also in no inconsiderable manner among themselves as to the course that ought to be pursued. (Hear.) In the opinion of government, it was most desirable that all these views, differing as they did from each other upon a subject of vital importance to the country, should be well and carefully weighed. (Hear, hear.) They had thought it unadvisable that, so soon after events which bed excited so strong a feeling, any attempt at legislation should b., made; because on no subject was the exercise of calm deliberation and impartial judgment more urgently required. (Hear.) But the government did think it expe dient that an inquiry should take place when all these events were fresh in men's minds, as they were at present. (Hear, hear.) He thought no one would deny that, in the course of the last year and a half, phenomena had occurred well cal culated to throw light on the subject, and to illustrate any opinion which gentlemen might have entertained on the 'nation. Few of us could say we had not learnt something by the experience of the last 18 months. (Hear, hear, and a laugh.) And, for his own part, he thought it most desirable that a committee, oomposed of persona of various opinions, tiklag different views of the subject, should inquire into the natter, and that, by the collision of their opinions, and the result of the evidence that might be laid before them, they might be able to throw additional light upon this complicated and difficult subject. Many of those gentlemen who had taken I a salt decided part against the act of 1844 in the course of the last session, had voted for that aet three years ago. w those, were one of the hon. members for Lincoln e7 t is hon. friend the member for Oxfordshire . (Mr. Henley), and one of the hon. members for the city of London. Mr. HENLEY said he had not voted for the bill of 1844, but for Mr. Munta's amendment. The CHANCELLOR of the EXCHEQUER said there were several hon. members whe hod voted for that hill at the time, but who had since seen reason, sad doubtless good reason, as it appeared to them, to change their opinions. All he wished to say was he trusted this inquiry would not be ocitisidersd in any pa r ty spirit. (Hear, hear.) He did not deny that he should go iato committee with an opinion certainly biassed one way by the result of the inquiry made in a former committee, of which he had had the honour to be chairman ; and he certainly should go into that com mittee, as he trusted and believed every other hon. gentle. man would do, with the fullest determination to weigh im partially the whole of the evidence that might be presented, the whole of the considerations that might be laid before them. He believed that such an investigation, conducted before &committee fairly and impartially constituted, would, in the end, tend to promote the best interests of the country. He would now conclude by moving the resolution of which he bad given notice, for the appointment of a committee. The 13r mange having read the resolution from the chair, The CHANCELLOR of the EXCHEQUER again rose, and said en hon. friend had reminded him that he had omitted to state that, as to taking any noun immediately, it was not the intention of the government to propose any measure at present. They believed that there was not the slightest probability of any such measure being required. The state of the Bank was such that no person could enter tain the slightest apprehension as to its power of meeting any demands that might be made upon it. The amount of the Bank's reserve, last night, was 6,800,0001., and of bul lion 10,800,0001. (Hear, hear.) The mere statement of these sums was a sufficient warrant to the house that there was little probabiliq of any occasion for alarm. The bullion in reserve amounted to six millions and a half in round num bers. It should also be remembered that parliament was assembled ; and if any emergency, the possibility of which he certainly could not contemplate, should arise, govern ment would have the power of immediately applying to par liament to sanction any measure which in their opinion might appear to be necesaary. (Hear.) Mr. J. WILSON claimed the indulgence of the house, on amount of his addressin.g it for the first time. He most cor dially agreed with the Chancellor of the Exchequer as to the necessity of appointing • committee, but thought the ob ject of its inquiry had been left too wide ; and he should therefore move an amendment. Any member of the com mittee might introduce topics quite foreign to thenect to be discussed, unless their inquiries were more s ' c and confined. Though the recent interference of e govern ment with the act of 1844 might have bees necessary--and he was far from disapproving of it—yet it had produced a distrait in the public mild as to that law, which a marching inquiry as to its operation only could remove. Every one was cognn ii rrtioogg whether that law was to be continued, modi fied, or • ed; and, until this question was answered, public confidence meld not be restored. There were other reasons for confining the committee's attention to the ques tion of banking and - currency. In ;1841, a committee had inquired into the Bank Charter ; their labours were inter rupted by a dissolution of parliament iand they re ported the evidence to the house without any re mark. Parliament had, however, legislated without further inquiry, by pawing the act of 1844; but It win evMmt from the voluminous evidence take baits the esnunittee to which he had referred, that further inquiry was needed. Such an inquiry was peculiarly ogled foe at th e present moment, when many new questions had been tdmd ley the operation of the act of 1844, which mile prop* hem subjects of investigation. up is the sountry of late—why there a eA Si 04=? And this was a question white merited meld net be a more foolish thieg hen for the legidelnee le aliemp to ex the price either el gold or W sew sommaility. The het was they did sat the pies el geld at all bat simply deMothid that sae mace of geld shield be divided into m may pines, and amid 411.1 X. 17e. 10td. in value. This wee eat MI: the pies Iy . mgore than uarter w it weuld consist oi he ex*. Fin r ear eight hschth . heuby Beam might say the legislature did fix the prise el gold, linamose rims sou this /Lint pries of SI. 17a 1004 wed the Beek ides ef 111. but this was not thdag he prise in dr sew aversi el pries. Another Ina y Ins r to the emirs at the eery tows ; and he revile the an alogues egpedsleiwadeta te math apsat shad* that coq vormet el the eery laws had his hit to herr. Lullesdri, Nerdy, great LOONIVINieIISO bed bra or mbar& sad reruns lad bees bed le IR MANI et dr kr, by the erase of heritable sea shies than he abeam at ea interest of 10 re art Vary betreed Ids assume ward reeetareed Met ao pat of the laws *mid be blt ea the elehreber. T om er a hear,) advocated the eileldidame et a if mine ; and he was eauldeed to lad a ferrules of peat ageteurcial and hankies_ espedare Maw dview. Hsi re Beak Begird the tree et th notes in NW Ws WA* them wad complaint, as the obeyed sesta wash, rows% be %- variably resorted to, and notes which had bombard whet gold, when that metal was cheap,M sedesmial silver, when that was cheaper say popular in the City, was to 'Orr the Drel i t l ere aro upon its stock of silver Wilton. This he =blamer jectionable ; and he eensidered it was a to allow the Bank to held part of its mune in ewe in all. It was no convenience to the Bank ; the whole es well have b een held in gold. Whatever bunko the Ma held, it was so much eberection of capital • and is, might, therefore, as well be in gold. The Beak me* le hold as reserve nothing but the bullion in WAS compelled r e q a te notes. The silver bees whisk came into the was mare Adak ht the barb of private aradrate it wield be to the Made of the Bank. haerat aLuks which hand mai herr to re City wee, that hie Bank eight to hold a parties et fordo sacluitim. Thins weals abe extensively hell by neseshonle sad wens he dot ire scot oat of the away, slim the pike of the.. censuses ha bat% throb, indite te Wham exdrasea The bre the Beak ese reds a ratartial trablibreet ths reee shirr d oiliest would be its nassegement. Bak* them pints elimmdry, the operation of the ar el 11144 wear be very reur. kid ea teinly= the rade earebihr • he, dough theme be arairmilia, die Tight kat. baronet, its peepamm% emtehaly had est that it wall materially lora graselailso, Obi the theme of distren. woollep bee kr tile light hsel. and the right haa. the Chamseilse el the isabegart isili n,. materially =died these wilier, es bed dee Ile sairat writer to whom the Chancellor of the Exchequer had referred. Though a different course had been pursued since 1844, a more aggravated crisis had come upon as ; it could not therefore be said that that act had abated the tendency to excessive speculation, or given greater security to commer cial transactions. Whatever was the prevailing opinion In the house in 1844, the public generellyhad believed that there was a greater security in that act. Merchaate had con soled themselves with the supposition that the self-soting principle of that bill afforded them considerable protection, end they had, consequently, exercised leas vigilante them selves. The act had done harm, by leading the public to tiling too much reliance on it, in the seine way as had been dose by all the acts professing to protect commerce and to segue the public against reverses. All tech acts professing to regulate currency and banking were injurious. What was the fundamental principle of the act under which the currency was now regulated / Why, that the circulation of notes should be regulated by the foreign exchanges. But he thought there had been no evidence to show that it was wise er prudent to adopt such a principle. He did not mean to say that the foreign exchanges should not be watched, for they were evidence ef the increase or scarcity of the capital in which the banker dealt. Whatever the currency might be, whether metallic or mixed—namely, metal and paper, it could not be based on sound principles unless in all its fluctuations and changes it conformed with what a metallic currency would conform te. The object of every banking regulation should be to throw a pressure over a longer pe riod , so as to make the pressure of scarcity felt earlier. What was the theory upon which the bill of 1844 was framed / That as the exchanges fall, they should contract the circulation, that with a contraction of the circulation prices would ill and that with a fall of prime the exportation of commodities would take place, and the importation of commodities would be suspended, and thereby the adverse foreign exchanges would be rectified. This implied a power on the part ef the Bank to contract or expand the circulation of its notes at pleasure ; but that was a power on the part of the Bank which he denied. He denied that it could do so at any specific moment, unless it were by the substitution of coin for notes; and he was at a lass to know how it could contract its circulation, if it were obliged to do so by as iwue of sovereigns from its coffers. The circulation must mean the notes in the hands of the public, and Bank post-bills, and therefore, in considering the question, he did not allude to the notes which remained quiescent in the hands of the Bank. The Bank could not contract or expand its circulation at pleasure as long as we had convertibility with a convertible currency—the operation of convertibi:ity itself was the measure of the quantity which the public would hold. The theory also assumed that convertibility on demand was not a sufficient guarantee against depreciation. He had yet to see in this country, or any other, evidence that where a note that was perfectly convertible at all times at the pleasure of the holder had ever been depreciated. (Hear, hear.) If, then, he proved that the bank note, heir convertible, it could not be depreciated, he thought he had done enough to show that bank notes could not be issued in excess. The hon. gentleman then combated some of the reasons which had been adduced, to show that convertibility was not a sufficient check against depression, and proceeded to say that the anomaly complained of so much by those who advocated the currency theory, that the currency had pre. viously been observed to be increased instead of contracted in the early part of the drain, was one of the necessary con. sequences arising from the internal character of the circula Lion, which was that the wants of the public must be supplied to an amount equal to the price of coin modiues which they had to exchange at any given time. Another reason why the Bank of England could not contract its circulation was, that if it were to take notes out of the circulation, the vacuum would be immediately supplied by cheques drawn on the deposits of the Bank; and therefore, while it was a bank of issue aid deposit, it was impossible that it could withdraw its notes from circulation as long as there was a large amount of de posits upon which the public had the power of acting, by drawing a cheque. As a proof of the impotence of the Bank in this respect, the hon. gentleman went into details to show that this had been the case from August, 1845, to March, 1846, when the foreign exchanges were against us, and an extraordinary drain took place on the bullion of the Bank; the circulation during that period did not decline., but the discount of bills greatly increased. The circulation instead of having followed the decrease of bullion, under the opera tion of the bill of 1844 remained nearly stationary during the whole period, while the reduction of bullion was repre sented only by the increase of the discount of bills. (Hear, hear.) He believed the fundamental error in the bill of 1844, was that those who framed the bill, as well as those who professed the prin ciples upon which it was framed, confused circulation and capital and currency with bullion ; they regarded the amount of circulation and not the amount of capital in the hands of the public by means of discounts and advances in various ways. He would now endeavour to show wherein the bill was deficient, and to which the banking community should alone devote their attention, in order to conduct their business more safely in future and prevent a recurrence of the evils under which the country had recently raffered. The attention of the legislature had never been sufficiently called to the deposits in the banks. The Bank committee of 1840 , bed collected some important and useful documents, and he I would take from them the deposits in the Bank of England ' la the last quarters of 1838 and 1839, a period of prosperity end a period of distress. He had taken the average weekly deposits of the whole of each of those quarters, and he found the deposits of the London bankers in 1838 to have been Iii:11 , 011. ; and in 1839, under the pressure they had 618,0001. The private and other deposits. (isoludiqf the deposits of merchants and others engaged in commercial affairs) in 1838, was 3,020,0001. and in 1839, under the pressure, they had sunk to 2,122,000/. The deposits of the hearten banks in 1838 were 592,0001., and in 1839, 431,0001. In the Bank of Ireland the private de pante is the last quarter of 1838 were 2,234,0001. ' • whilst in 1839 they were only 1 t 834,0001.; and the agent deposits in the same bank were, in the last quarter of 1838, 486,0001., and in the corresponding period of the following year only 391,0001. There was therefore a reduction of more than twenty-five per sent. in the deposits of those two periods. He was naturally led to ask what was the character of the banking trade ? Merchants obtained accommodation ; but during periods of pressure, such as those which have recently occurred, it was found their bills could not be discounted at all, or, if they happened to he discounted, no matter how undeniable their security, it was at an enormously high rate of interest. Now, there were three classes of bankers—drat, the banker who has hie own capital; secondly, if it be a bank of issue, the banker has his own circulation : and thirdly, the banker who has his deposits. The two last-named claret were very nearly alike, but it was quite clear that the exclusive power of any banker to give accommodation to his customers arose from the state of his deposits. If it was found that within one quarter of a year the amount of private deposits had been reduced from 7,144,0001. to 5,413,0001., as he had already stated, he would ask the house to consider what must have been the extent of reduction in the whole of the banks throughout this country. (Hear.) In the banks of Scotland the private deposits amounted to 30,000,0001 a—the redaction amontated to 7,000,0001. There were 400 banks in Scotland and 1,600 in the united kingdom, so that, considering the extent of the reduction of private de posits within the period he had mentioned, the intensity of the preemie which has lately occurred might be wily imagined. If such an effect was produced in 18111 by slily one cause. namely, a bad harvest, what must have boa the reduction which has taken place in the present yaw when several ceases—the drain on the country for the imponetlen of foreign corn—the large sums invested in the enestneelien of railways—and two successive bad hornets—Mk as it were, conspired to produce the late unhappy stale ef ti = Reckoning the number of banks and their braaress out the kingdom, he apprehended that the egingehisesount of the decline of the deposits in the present year weal rage between 200,000,0001. and 250,000,0001. Tke meant of private deposits in Scotch banks was much more then in any other banks Ia the United Kingdom, beanie there is caeter enothregeneat given in Beavid to depositors. the Anis are authorised by the aerie to re solve trait noway, and a fair amain el interest is allowed. The week is, private la the banks t all the dizs oho a u re much larger in go them other pens et the %Med Kingdom. He not believe that the avenge emsset of deprave was greeter fa each of the 400 Benda di..k the aggregate Leo! night be,and it It w ee, greater thaw lei else Parglith banks. He the peel error into whisk they had fallen was, that th ey Ind eisinod themselves almost exclu sively to the oinefieration el the subject of cireeletioa, and not to the Armee hegereent question of .. eepital." He had stated whet his opinion was with ramose to the necessity of bankers keeping a continuous of Il e x upon the Ago 44 the foreign a:changes. He night be asked With nee he wield aspen to derive trent reivehtsg Wilmot* Os es. lie enewer to sea a quietism would be, that it eked& be ask sad stringen doatl eau l isse lbr theasees ef alithig beeline to anticipate to eases a drain on their deposits, and to mak them ts fressees tho drops which night take plea sadsedaas that effect. Ulnae= ailed sa piaaiple,endkeptWeir sow whoa that rasa Miaow it was agent to benne ewes. sethidrouselessee, if theygnthellythwersed th eir sake iltintieset, it wockl bs preduetnief sentes le thinselne mod to the commercial Morena inanity. _HIM,. had done se la time, this very year ft would have bad a alit bensiliski abet. (Hear.) By /nig the rate el knierist when. in August last, the morn t, lead was sinking, end instead of Ones et bar per nat a fth rate of interest was mask dike late coseasenial difficulties night have TI welded. If the rate of interest on dimwits had ben in lensed nally in time, and had gone on nonesing in ,L,..d to the drain in this canon, , le bad not the doubt that it never would have keen n idgit es that was afterwards head is be neassasy to assent end enure the credit sad eendines of the sennertal theorem of the country. (Hear.) He believed the thaselties sus tained, if not altogether avoided, by sdapting sulk amiss as that to which he had alluded, would have been Vis mitigated. He should, however, acknowledge t a ' bolist, that anything that a oommittest or that tunes could do, could not prevent a etherranse tithe late panic :—as long as we have varialiens aid slings, in our harvests, and are tabled to the *Mind= from which we never can expost to be altogether congited, periods of panic and demonise nest be waled. He was not so nagnme as to hope thin they wouldhe always avoided, ht! .. eament, by furWaidng iabranatke whisk they had write. .. al wr it obalamg,.. l ow th eo lgtd ma jz a wiak i... :: „idali nia ii. "mi. fit flawralms; sleek penis eg penis smut lever it s eat if thillgalng Oath alien. • pond all if diet theallplien II wee the theW et pdlatheth to etheA int the wareemilliewesmosigy druid eheseree• eat their own graded sethewillen. The ealthisedthery engenthilenefthe LA tw=esuld int be Ithgthiee. The Ma ialesessed • few ago lry the dght has. lase net (Se Chew Wier of the liwilarrter), for the eniganisa et ens 'thin pahlio wadi% mat thaw out of eimienerat I a thew nude et perms; the gesesal menus lthithi was All wen the Manny peeled that a reaction was yet to come, and that they should the indiscretions of which the country bad been guile, g"" believed the next year should be looked forward to ri . d t .7 prehension, and he regretted to be obli ge d to ex pesa belief that it is very possible it may likewise prove to be; of f h Y o shr o nn use a l ia c t oul de d rtsli u de p.i , w 'm as ble to l : o b h b y e tai w o n hi pl an c y h d th m aff i e n an o g rd s hainwmdeuvbeeyrb, dada 111 ndid efforts the country would soon gradually restore it self that state of prosperity and independence, which, 1 .1 sure, they need not lire many years to see inuett B , e - than in any former period of its history. (Chun.) gentleman, in conclusion, moved as an amenili upon the Chancellor of the Exchequer's mot i on for ‘-1 select committee to inquire into the causes of com me ,. distress, &c.," that all the words after the word " it te " be omitted, for the purpose of inserting the (0110,111 g " how far the recent commercial distress has bean age t - Q by the laws for regulating the issue of bank notes pmti s on demand." Mr. W. BROWNE having seconded the amendment, Mr. T. BARING acknowledged that many errors ked been committed by all parties • but ho could not admit t y, the pressure was entirely attributable to over., want of capital. Blunders had been imputed to th e adt Ilea; England, but, like all other large establishments, he e mi ci ask where was there a mercantile house in which a variu y4 errors might not be pointed out ? The right bon. ge n ti, eo (the Chancellor of the Exchequer) had stated that the g,. k of England had been guilty of blunders ; but the right be e . gentleman should net have forgotten that be had overtraded with the interest of the country by leav4, large amount of Exchequer Bills in the market withontir mind for them, and at a disgraceful rate of discount. Th s right hon. baronet had committed so many blunder, M ud he had been a small trader his conduct world have been mg. cient to warrant his name being put into the ;Gawk (Laughter.) He had neglected to make any provision ke the large amount of Exchequer-bills due last March, ti. though he should have known the demand for batiks tbet must follow from the state in which the country was than in. There were various intimations made to the right hon. Me e ., net as to the state in which the monetary affairs of the mar try were, but he had totally neglected to make any m e w, against its consequences. The want of foresight did not exist alone amongst the traders of the country or the Bank of Eng. land, but in the right hon. gentleman himself. The pre l i m was attributed to overtrading in corn. There was doubtedly overtrading and great speculation in . ear k but that was not the sole cause—her Me o w e government were not free from blame. An UKII4 was not the remedy for the blunders committed—they du n g have donne of different opinions. The result would be, the evidence would be published without a report, and the right hon baronet would take the recess to consider what was best for him to do next—(hear, hear)—thus leaving the Many in the same state for the next Tear • hell that it is mat present. (Hear, hear.) No more could be unsetlifee. tory than such a proposition as that made by the gum ment—a committee of inquiry! Why, the country bed been sitting as a committee ; their pressures and their suffer ings had been a committee, and from them the stated the country, and the operation of the act of 1844, which the right hon. gentleman himself had supported. The right hon. gentleman might know from experience that the Bank of England would not fix too low a rate of in tercet. The effect of fixing 8 per cent. as the minimum rate of interest wan, to alarm a great portion of the inn's trial community, and if money could not be procured at a lower rate, it could not be expected that the manufactures of the country would be able to execute foreign ordsra (Hear, hear.) They could never carry on a profitable ex port trade with a rate of interest so high as 8 per cent, sad if such a rate of interest was to rule, they must expect to see a great diminution of that export trade on which they must rely, not merely to pay for gold, but also for t h e in crease in the foreign debt which had arisen Gem the facili ties; given by then recent legislation to foreign importa (Hear, hear.) They had afforded the foreigner many advan tages of late, and if by any measure they prevented the manufacturers of this country from obtaining money at a cheaper rate of interest than the foreigner, he be lieved they would sacrifice one of the great advan tages which the manufacturing interest lately ob tained. He would not go into committee without obtaining some assurance from her Majesty's government as to what they intended to do in case a similar crisis oc. caned again, or to what extent they would suffer it to pro. cud before they would afford relief. (Hear, hear.) He should desire to accompany the resolution with this ap pendage—" that that portion of the act of 1844 which re stricted the issue of holes to one-fourth on silver, and 14,000,0001. on securities, should be suspended, and left to the discretion of the Bank and government united, till the committee i h ttes ope ma of a redethpoT, early repot.r.."oug(Hh on ear, which to f hear.) The o re .d could ban immediate measure, and the operations of the commercial world would remain uncertain unless some such measure as he had suggested were adopted, or some declaration were made by the government as to the course they would pursue in case s similar crisis arose again. The hon gentleman who spoke last said that a double standard was not compatible with security. He (Mr. Baring) denied that ; for there ex isted such a double standard in the United States, and in Holland, both commercial countries. (Hear, hear.) They might have a double standard in this country, and, though It might be attended with some inconvenience and expense, differences which huld had taken uk lig e h n t p i l l ee co tti mpart i :;n w n with the the value of capital and money, which were enough to ruin the commercial world. (Hear, hear.) He did not think the measure of 1844 could be said to be satisfactory to its promoters; it was not satisfactory to the country, and under these CirCUMIIIIIICeI it could not be satisfactory to the house. (Hear, hear.) He trusted, therefore, that the house would not think it shelved from consideration by the ap pointment of this committee. (Cheers.) Mr. ROBINSON said that the motion of the right hon. gentleman the Chancellor of the Exchequer was a tacit ad mission that the law respecting the currency required revi sion, and that the system of free trade proved a complete failure. He agreed with his bon. friend who just addressed the house that an inquiry of this kind, without restriction or limitation, could load to no practical result. Sir W. MOLESWORTH said, hie honourable friend the member for Poole (Mr. Robinson) attributed the commercial embarrassments of the country pardv to free trade and partly to • restricted currency. He (Sir W. Moles worth) thought with the Chancellor of the Exchequer, that those embarrassment, were attributable not to • deficiency of currency, but to a deficiency of capital. Tbat deficiency arose pertly from cause over which we had no control, and partly fram - our own folly and imprudence. The national loesgrom the potato disease had been estimated that night at upward ef 33 millions, ands the whole of that sum came out of the Rational income, it was evident that the pressure produced must have been far more intense than if it came out of apt tel. Again, the expenditure in railways had greatly dimi nished the floating capital of the oenntry, and the labour ex pended upon them had not been employed in providing Boating, but in producing fixed, capital. The country by these canoes was placed in the position of a man who in an attempt to improve his estate had vent, not only all his pare cub, but all that he required to provide himself and his family with the fit necessaries of life, and who con sequently was obliged to borrow money at • high rate of interest in order to supply the deficiency. We had in fact expended our floating capital in railways, and what we had now to do was to redeem our position, first by diminishing our expenditure, and secondly by tempting =IL' capital from other countries, by selling our fixed and articles of production at diminished prices. He krw that there were sonic people who attributed what had owned to the operation of free trade and the repeal of the seen law, but it wee evident that those political cirmunstancee had nothing to do with the antecedent events of the potato failure and the railway speculation. Neither, if the recent =barroom:tient was attributable to those combined muses, could they in any way call to question the operation of the Bank Charter Act. In his opinion the embarrassment was as little attributable to that act am to free trade, er the potato failure, ee deficiency of capitol. It arms, sit he said before, partly from natural causes, partly from overtrading. Now, what woe the came of this °manage ? It wee an event, le repalleil la say, el periodical 1111111111•01. Capital in this poi alameosial esseary inuenued owe rapidly than it wee pain le lama te. The rata of atria consequently fell, whit the plea of provisions rose. People, in order to ob i& the Ar tisk mousy, aelarked eagerly, and ova realyfe ess arr edema dat ore projected, A ire ellkaa wee tip; but the sevitoltY fuloar end end swesiedeL Atat • WIN Sr arm poet u.r, het emineepieseseseisd. IS the spe wham pole taderlook to ot mire thee OPAL • pais arias& Did the Bank M of legiiid ti sealed se teal orpsvate that panic Oahe de sot tar he the Meek wold have done wiser k od e 2 d e t i 7 si i i seliall a ibis halo eltemen Thee One dee as to the ma- Oa at the gevermiaL It ma the mos paned by attaMw was ennesonsery.altated abed prondest, end wee sokeiatid to innellie SIB whale onency qualm Their might be ermadder to their eagensals, but the tem W append to him lebe, ea which Ole wee the basso ef rearie piesteat, et to take the step the SOWS- Ent load tritee t It was anteinly nay much in their favor that despest neednale of the City wee of opinion than =e sh r perseed the wisest and most judicious coo. there wee sane difirsaes of arnica es to whither or not asp had dlesse_ • prow dma. If the Bask had hem the fed pas ca Mereesft the rate Omit easerSeg to* nernie of the MOW peon, sad the senestresat irmand areey, he whether the peals would ever have ahem Pace. It wee gaieties, how seer whether that None would have been the beet to the peerniery interest titbit perrioxs, to whom it was always ea anemia to mike the imp semi of ismity arising from the peals tease which reoadasil to their heeds lent for a littetaL,.=..,ll,,tarereoatuninterest. In Yes try had . eel I.d=ad this s, le moss over win* parliament had no coded. As it on be borne, and we must tart to ." do, are, led ormany, te retrieve our posi tion. ( C FI AT ese LEY ahwid have thought, if the hoe. boot had sot been sudder • womb, that he was reading, this Mi ens which bad moues& .1.11 dine to tine daring the bet 6w moths to a nediag Paned el 66 eseetry, to white pan* the WWI orgasm% and sheet is the sans L - 111 as bed boa sawed by the lea. boast. - hid hem put OEM. Until he bead is has. based he tbseght no man bet the writer el the bang snide to whisk he referred wee bill aisegit to mope 64 the est MUM hit sot in say way oretelltated Is we sammeisl tussles. Me &sob' haw tem giad if dram. lessest or ow oder boa swabs, bed I• Mown the 'Medea Whisk bet ham gime *re= fat miediente in London, the lam mataless ININ tea Is (Mr. Colley) MI est *0 Set e at biesesalls feud the C 1608116, et the lizabsssor had deal its lees alieSo d the Pronsio. He "ii siberei and the ponted i l i a % h riell ma mak man asserstsly NA le =IO to the t by the beano of Mee we son, and Mind itself