The British Press; or, Morning Literary Advertiser. — London, England, 1826-02-18 00:00:00

on tie spleen of branch banks to such an extent as would meet the palate exigencies, he felt confident that the Rank would not hold the public restrained until the expiration of their charter in 1i133, bat that the Bank would make the public free before that time, by toregoing some of their rights. He did not see 'how the catahlish rnert ofrother banks would injuriously affect the Bank of England. Ile thoughathe establishment of other banks would greatly benefit it. Aoy thing thrt 'would place the currency upon a more secure and solid foundation, would assuredly benefit the Bank of Enfilern- He had now got through the most material points upon whieh he inteniksi . eti address their Lordships ; but there was'one doctrine winch get elarool, and which was nienumed by a Noble Lord on a precodmg erening-ait was said that there was nothing better than a paper 'simulation convertible into gold. He thought this (Inc rine MOO erfPneoll , - It was true to this extent, that a paper cur rency ebniertible into gold would cure itself, wham a paper cur rency na - convertible would go on,,aind people suspect nothing about it;nntil it involved all in min. The paper currency convert ible into gold carried with itits own curet but it Involved the ruin of thousands, acd produced those convulsions in property which were follower! by such dreadful consequences . that lie could never time in Ipok upon a paper circulation of any kind as a great evil. This was an evil to which a great country like England was parti cularly subject. A great country could not have the advantage of that steadiness a property which poor countries had. The object of every act otlegialanue and of Government should be, to make those Hue tomtits)s rare and lees mischievous when they unavoidably occur. These Inetuations in the value of property were a great evil, and affected all great political questions. lie was not incieted to give an omoion upon the Corn Laws. bat whenever that question came to be &wooed he feared it would be met with much passion and heat. It was one of those questions, however, which ought to be argued most coolly. It should not be taken up, on the question 'whether rents would be higher or lower, because of the way in which it should he settled, but what settlement of that question would lead to the -least violent fluctuations in property. The truth rested there and whatever may be the merits in the question, whoever sowed that problem came to a wise conclusion. IV henever the questim was brought forward it should be considered coolly, and without reference to this particular interest orthat particular interest, but with reterence to the whole community. (Hear, hear.) He now came to the question of the measures of relief which were afloat as atonable to be applied in the present exigency. lie knew it was expected that the remedy applied under other circumstances by an Issue of Exchequer bills should be now attempted. If he had con. stated his own case, or, if he may be allowed the expression, his prpularity, he could not have done so better than by coining down and proposing such an issue; but it was hill thorough and deep couricinin that such a counts was not consistent with his duty. He should always think that the precedent of 1;93 was a most dan- Dm& pretedent. It was true there was agrees difference between that emergency and the present. That had arrisen out of a political mine, but the present distress hail no connection with any political went whosoever. What political events. cuula justify such a pro oreding, he would not now say, for what was the effect of suth a measure. bin to leave the people not true to themselves. It was tounteracting the doctrine he had alluded to, to leave the evil to m i re itself. and was leaving open to the community the expectation at specific relief from Government in one of their own extra vsglnce or rashness. But see the effect of such a precedent when applied to other interests. Sonic years ago it would be remern. bend that the landed interest were in great distress. At that pe. rind he (Lord Liverpool, was beset with applications for specific retie; and the ground of those applications was that specific relief had been afforded to the commercial community in th e season of drums. There was a short practical Answer to thme applications. The atiewer was the the thing was impowiible. (Hear.' Tne tounnereial community in their distress were able to afford the Government their goods for security, which it was impossible could Naos/tied upon landed property. Vet notwithstanding this pear eical answer, it was impossible to make the landed interest believe, that as the state had come in on behalf of the commercial cons. reunity, it should not also have come in to help the landed interest in its deep distress. Betides, it was urged, and truly urged, that commercial men may confederate and assist cob other, but that the landed interest hau no such advantage. Alluding to the pre. sent measure, and to die existing distress, he would now my, that if without 'Minting coy principle it was possible to afford relief and give conbdence to the money maiket, it was the they of Government so to do. One plan had been proposed, which it wee thought might be attended witb the best effects. On ernmetn lievingm debt with the Bank to the amount of about site niiiliGnS, it we thought that if the Bank purchased a loniied quantity of Gonorment securities, Government should bole the Bank hannim. In the traraaction. It was the opinion of some cow merc.al torn of great eminence, that this measure would produce the her effec , s. There was no possible objctian to it in principle. The Thu k would be allowed the amount of its purcbases, in the debt, “nti this was nothinar more thanpaying the debt, a debt which was aelnowledged , which was no secret, and which had been onotractal with the consent of Parliament. The whole debt due. is^ the Government to the Bank did not exceed six millions. This debt had principally arisen from the payment of the diesel, - tient five percents. The wishes of Parliament in 1810 had been cumplately fulfilled by the (imperilment. The deficiency hills were co debt at all ; they were nothing more than an anticipation of the quartet's revenue. He had now gone through, every point which he thought it necessary to advert to, but should be happy, in the course of the debate, to give any information which their Lordships should deem iles;rable. There were two points which lie just re. collared, and to which be ,ought briefly to advert. One was as to a modification of what was originally proposed respecting the one and twa pound Bank notes. The proposal was, that no new notes aimaid issue from a certain early date, and that from the Otis April HMV, one and two pound notes should cease to circulate altogether. The original proposition was. that the Bank of England should be pat upon the same footing with the other banks, both as regarded the issue and the eircvlation ceasing. In consequence of represen. tatiorts from the country banks, it was now (honied advisable that the Bank of England should have the power of issuing one and two pound notes until the loth October next. As to Ireland and iScodsnd. it was highly desirable that they should be put on the saute footing with England. but not immediately. A as Bill would be introduced hr Ireland, but he thought it advisable that the issue in that country should not cease for some time. He understood from those alio were well acquainted with that conutry, that it would not be necessary to give Ireland more than one, or at the furthest, two years. As to Scotland, the ge. Baal principle should be strictly kept in view; but he thought it desirable that the Issue in that mum, should not cease so soon. retbaps it would be a proper arrangement that the banks in Scot land should cease to issue when the English banks ceased to circa late. The state of circulation in England and Scotland, and in !reload, should be assimilated as soon as possible, and the same principles should neva; be lost sight of. The Noble Earl concluded amidst loud cheers. The Earl of LIMERICK begged to state, in reference to what the Noble Earl lied observed respecting the extension of the period Movioos to the suppression of the circulation of small notes in Ire land, that in that country there was no circulation whatever but what consisted of small notes under five pounds; and as to the coin of the realm, there was no such thing as gold to be had. He believed. in point of fact he knew, that there were no large notes issued in that country; nor was there sufficient gold to supply say abstraction of the small noes from circulation. He therefore hoped the Noble Lord would, before any measure was brought for ward to alter the state of the currency iii itelund, be pleased to take iv(' consideration whether it would not be necessary to have an in. crease of bullion introduced into that part of the united kingdom. The Earl of LAUDERDALE began by remarking that much of what the Noble Earl opposite (the Earl of Liverpool) had ad. dressed to their Lordships this night had been upon topics alto. gather extraneous, and which certainly ought not, properly speak log, to be mixed up with the specific (emotion before then. The same course had been pursued by the Noble Lord on a former ac. Galion, and their Loedships would remember that he (Earl Lauder. dale) had than treated them in a manner in which all extraneous ob. eremite:lc ought to be mated—that was, without taking any notice of them at all. But when the Noble Liu; came up to that Home aid made such observations as had fallen from him that right, it .as impossible that he (the Earl of leuderdale) should sit silent and allow it to pass unnoticed. The Noble Earl anticipated that whoa the question of the Corn Laws came to be discussed there would be great heat and intemperance; the Noble Earl depre cated any such course, and warned the House from treating a great publie question in a partial manner. Ile (the Earl of Lauderdale) could otile ear that be could not call to his recollection one single argume.t that lie had advanced upon that subject. in which he did not consider the interests of die landholders and the interests of die manufacturers as combined, and to which he did not conceive sell' to be as much the advocate for the ma nu fact urerait the landholder. H• had rtmiatamed that nut exalted prices, but prices which were moderate and such as were Dot subjected to variations. was beet both for the manufacturing and the landed interests. Those who claws to look at the prices of corn since the period when. the wh ew was discussed in that House. would see that whilst they were moderate there was lea fluctuation in the state of the country than when they had attained to an extraordinary height. Such was the manner he had hitherto argued that question, and he should pur. sue the same line of reasoning whenever it came forward again ; bus not with heat r intemperance, but with that coolness and de. liberation which the importance of it demanded. God forbid that he should eves attempt to sever the irtertsta of the country to such an extent as to argue the question with reference only to the landed isterest. His object would be to ascertain what was the best met. owe to be adopted for the interests of the manufacturer, the agri. °annalist, and the common, at large. Ile had felt it fleet:may tomake these ohservatiens, in order to prevent the anxiety sod alarm being occasioned to the country by the appeehensleos ex. mewed .by the Noble Earl es to the manner in which thti great timeliest would be treated in that House. With respect to the iite ,,mi t in immediately before ther Lordships, he felt that be ought go beg pardon for ruing to &ruse it, being, as it MIL one of the meet important that tad ever been offered to their notice. Nor was it so much out of respect to the Noble Earl himself, as for t h e situation he held, that he (the Earl of Lauderdale) was induced to twig, to tits observations which the Noble Earl had addressed to their Lordallips. The Noble Earl had, with his usual candour, stated to the Hour his views as to the condition of the country. of Use causal that bad pr elured the prevaillug distresses, and or the remedy which was applicable to them ; antiti that WWII, withdraw. tog from circulation one and two pound country bank notes three es l ou r years eviler than was by law provided. If he ( 4 , E ar l of Lauderdale) were called upon to state what was the best spaces of circulation, he confessed he was not pre- Pared to sap ; but in 11 , 4 view of the subject it was not lucent ism in hip to give any opinion, needier was he prepared as lay w he t her at the prese moment they , ought to interfere with the eseitinee petedeges of t he Bank of Loglaind so tar as the plea of alts Noble Karl reposed to do. Bet admitting these measorm ▪ hi right, the go t aition was, whether at lids moment, with the pantry is themes that it now was, it was adsiaabla via the pat of the tiovernment to bring forward a discussion on the subject 1 It wee his opinion that this question could nut be discussed with mot orr without doom nor with safety within. At this moment it was hopoesible tuenter into it without etching much serious apprehen sion ; he even dreaded the MI cis of his own argument', and still more the answers which be should receive from the other side ofthe Honer. But it was impossible. after the speech of the Noble Earl (Literpool) this night, not to go irto the question, It order to I show VIA the whole of the Noble Earl's argument went upon mistaken view of the real cidaniities of the country; and instead of the measures propmed being calculated to reduce the evils that existed, they were of all other,' the most likely to increase their ! magnitude. Before their Lordships determined upon the applica. Oct' of a meetly, it was necessary they should ascertain the nature of the Utie/141. His Noble Friend behind him, (Lord King we be lieve) hid attributed the original cause of the distresses of the country to an excess of paper issues, and the Noble Earl opposite had w.id to-sight that the commencement and origin of these dh. tresses were also attributable to an excess of paper currency, the first coneeqaence of which was a disposition to scheming, whist bad in its turn tended to produce further and more excessive issues. But neither his Noble Friend nor the Noble Earl had proved to his (the Earl of Lauderdale's) satisfac tion, that them bad been any such excessive issue of' paper cur. toner. How, indeed, could such a fact be ascertained ? What at one time might be a great excess for the purpose of conducting the transactions in which the country was engaged. might at ano ther time inure to be a great deficiency. They tad seen all pro perty, except fixed securities, expiated in the same manner wish the currer.cy.• Was it possible that where an extension of prices in every article of consumption occurred, the transactions of the torus. try could he carried on with the same quantity of eirculatioo as when prices were low ? Did the Noble Earl (Liverpool) think that those speculations of whidi he had spoken, and of winch he (the Earl of Lauderdale) would say a word or two presently, and the great lamas* of commodities to which the Nuide Earl referred. did he think that all these transactions could be carried on without an extension of the currency ? The thing was impossible. There fore the only proof that could be given of the excess of paper money was not that an actual excess had occurred, but that the quantity of the circulation had increased beyond the P roportion of the increased demand fur it. The Report of the Bullion Commit tee seemed to be summed up in one word, which was that they !greed with Dr. Adam Smith, and all the other writers on the sub. sect. that the only true system of the currency for the safety of the country was the issue of paper, which was convertible into gold on demand. It had been said that the excess of the issue of paper money had depreciated the currency; but lie held that to be impos sible whilst a bank note of the value of 2Us. was convertible into coln on demand, and whilst a sovereign was worth Ingrains of gold and a fraction ; so that a pound note was equivalent to 123 srrainsof gold, and which most be so unless the Noble Earl could prove that one and the same timing bad ceased to be simile" to one another. There was no allegation of this sort in IVA ; and no proof had been given by the Noble Earl that that paper had increased in culatton. hod diminished in value. After all. was bo_Pozzled to account for this phenomena that had taken place? Was he at a loss to account for the comae of paper, when he knew that the transactions of the country could not be carried on without it ? Not at all. Let us then ate (said the Noble Earl) what was the I real cause of .11 the phenomena that existed. This naturally led him to tile consideration of what had been done for a few years back. It was extremely surprising to him to hear men of great talents, talents which lit respected in the highest degree, pointing out an excess of hotted o,:casioning the rise of prices, and deserib. ing that excess tc be at one or two millions of the circulation. Such a disproportionate quantity could not produce the erect ascribed to it. But was he not Justi fi ed in attributing the present state of things to the expenditure of the annual sum of five millioes, which had been established as a sinking fund for this country? The Commissioners were yearly going into the market; it matters not whether the people were paid in the four per Cents or Exche quer bills, the same consequence followed ; it was five millions of nosey thrown annually into the general scale of the capital throughout Ohl country to seek. for employment. fie asked whe. they it was possible to avoid such an excess of capital. hay. ing the tendency to depress the rate of interest, and which necessarily drove persons to engage in specula:lone? Their Lordships would recollect that this, too,.wos a new expert. mom When the Sinking Fnnd wac begun It wits only a million a year, but by the operation of the war its effect was destroyed ; for by a curious process the Sinking Fond was paid to the country with one hand and borrowed from it vein with the other. The Sinking Fund now in ,operation was consequently a new feature brought forward, and the elevatiou of pewee, of the funds, of landed property, and the thutinatiou of annnities, would be found to arise front its operation, and the consequence wee that the whole country was insolved in one mass of scheming, by the excess of money in the market. The same thing had occurred at every for. tiler period. When Mr. Uut t hiuson brought forward his scheme of the Sinking Fund, and which • was afterwards adopted by Sir Robert the effect was the lowering of the rate of interest ; and this produced the noted South Sea bubble, which in its turn effected a further loaterieg of interest. Thu seam disposition for scheming was engendered •now and from the same cause. The Noble Earl (Liverpool) had said that he (the Earl of Lauderdale) was not authorised to refer to what bad passed in a former session, or to what the Noble Earl boasted of on the commencement of the present session—natnely, that he did not take into his view the con duct of the 'country banks, at the time when he stated last year that these schemes would inevitably bring ruin on their projectors. But the Noble Earl had this night said that these schemes were set moving through the medium of the country banks. Last session the Noble Earl held out in terror to all who should engage in these schemes, that his Majesty's Government would not advance any relief, either by exchequer bills or otherwise, in consequence of these scheming': butelid the Noble Earl say at that time that if these schemes went on he would be inevitably compelled to propose to Parliament that the circulation of one and two pound notes would be put an end to ? No, he did not. If the Noble Earl had left these speculations alone, he (the Earl of Lauderdale) thought the loss sue sifted by them would not hare amounted to two millions; but now, In consequence of the agitation of the question, he thought the evils would be considerably aggravated ; and in his opinion it would be solely attributable to the Noble Earl's measure. Let the Noble Earl look into the list of all those concerned in these specu. latlons, and lie would not find that any country bankers were at all connected with them. fie (the Earl of Lauderdale) bad inquired into the subject. pad the result was, not that any country baskets were concerned in them ; but that many Members of Parliament, many of the friends of the Noble Earl himself, had allowed their names to be used an Directors, thus giving a currency of opitii t in in f2Arour of these schemes. Nor was he aware that any exertion had been made in this House to !oppress what the Noble Earl now asserted had been so prciudicaal to the country. If, then, the view he had taken of the subject was correct, acrd that all the evils had been occasioned by the Sinking Fund, through an excess of capital thrown into the market, he would ask their Lordships how it was possible for any man of sense to adopt the remedy which had been recommended ? The Noble Earl had said tint there were C millions of I/. and 21. notes in circulation, and that '25 millions of gold had been coined, of which, after deducting what portion of it had been exported, there remained 16 millions in this country. How the Noble Earl got at the knowledge of this edeulatio'n, he (the Earl of Lauderdale) could not tell, for he remembered asking for returns upon the subject, which did not afford such infumiation ; but whether the Tact were so or not, the haziness of the bankers was such that it did not require one million of gold coin to keep up • circulation of six millions of paper. liow then was the Noble Eatl going to demand from the community no less than live millions which was employed, and the benefit of which the country was en. jeying ? But how was the Noble Earl to supply its place? If at any time the Noble Earl could gain a capital in this country from individuals who would consent to bind themselves conjointly and severally for the purpose of establishing such a joint-stoct bank, it would very much surprise him (the Earl of Laudevdale). He knew there were such things in Scotland. Ile had himself' been applied to to allow his name to be used in one of them, The persons told hint that they did not wish him to be a shareholder, but only to permit himself to be a governor. His reply was that as he did not choose to become a proprietor, he still Iwo would allow his name to be used as a decoy : duck. But would the Noble Earl in this country get gentlemen *open in these joint-stock comparies? If he should, the Noble Earl must have some art for accomplish. ing his purposes, which he (the Earl of Lauderdale) could not comprehend. But if the Noble Earl should do so, the effect would he that the law relating to banking would be.entirely new modelled. Did the Noble Earl think that when he was adopting thle plait ho would be addirag to the security of those undertakings at all ? One of the greatest estehlishments of that kind had faded—he meant the house of Dickens, ilean, and Co. whom bankruptcy took place its the year 1772, 41111 in the winding up of that coneorn it was totted that they bad extensively dealt to annuities, a species of business of the most doubtful description. The security which the Noble Lord (Liverpool) had proposed is to be the result of joint-stock companies. Though the Noble Lord cal. enlaced in so sanguine a manner on the good effects which were to be achieved by the introduction of that system to this country, he would find by experience that such would not be the case. Distress was as likely to ensue under the operation of joint-stock companies as hi any other way. He wished to know what remedy it could be to creme a new demand for capital when the credit was gone ? By removing the present system, and by the other modes of relief which were contempl a t e d, he thought that distress would occur in as great if not a greater degree than had been experienced by the contrary prances. Tte Noble Lord (Liverpool) bad omitted to allude a. one subject of great importance, and had adverted to another topic country to expectation. The otriiseion which he meant wait in respect to the Glint regulations. For seine Mexpli. cable reason the tiovernment of this country required a seigeorage on the Over to an immense extent. It had raised the value of silver by confining the issue to its own hands, and had added to the evil by the scarcity of the issues with which it did condescend to favour the country. Gould any experiment be more certain then to give that standard of currency which every country in Europe, except England, had adopted with so much success? Indeed. the father of the Noble Earl opposite had published a book on the subject, in which it was staid that as this country was the west wealthy -in the world it ought to him, a richer standard than arty other kingdom. Was it this reason that mad() the Nqttle Earl so repugnant to the introduction of the silver 'tendered ? A mote ab surd reason was never assigned in support of any measure. As well might it be said, because this country has the most extensive woollen manufactories, that it should use a longer yant. Ile wished to know flow the Noble Lord (Liverpool) whether he still persisted in his opiaion, that the country shout( be excluded from the full belie& of a metallic currency ? It was the pride of that Noble lenel to encourage a commercial inure min between this country and the new South .trnerican States. He did not mean to condemn the conduct of the Noble Lord in this respoct ; on the contrary, lit. approved of those measures which were calculated to promote such an intercourse. But the cause of his allusion wag %his. that as the Noble'Lwd Mast be-fully aware that the returns front thaw South , A merieat States meta be in silver, it seemed therefore strange . that he should not Follow up the principle, and adopt the .. .neer currency t but now this 'diver MINE be taxied to the coatiaest at • mat to the merchant of one and a half per cent. He had long since pieced on record the sentiments *bleb lie e ri ff it e t c o t ta w in e e r ki e o t n heo the seou sub ted ject , i t e but was th ap ou roo g d tt th h a is resolut i ons t heooaittaaa t to o la tt it t many romectable proselyte' to hit system at the present period. He was also pleased to perch , * that the Noble Earl (Liverpool) could not carry, ttis proposed movie' without adopting the very principle which had been Advanced in the record to which he alluded. With, l' , . , aard to he introduction of the new system Into that country, vbs. which hrwas most intimately acquainted (Seep. land), he had with great soloist heard the proposition of the Nohle Earl opposite. ft sus a carious Idea, because overtrading had produced evils lo this muntry which required relief, that the remedy should be extended to another country where the cause of the even dill not exist. It reference toe passage which a N'i'mble Lord bed read, concerning 'lie Scotch banking system In the year 1761, he could say that onions' notes were then issued at aix nesottaj but since the Invitation of banks sri Scotland in the yeei IPBII th ey had not clouted the poor to suffer such loos end misery On Vail been experienced in this country by the Itankine system. The tioble Earl opposite was inclined to try how the Scotch mode would operate here; but lie might find some difficulty in the ap piteation to this country. There were thirty banks io Scotland, of winch number only Neves were establi;lied as iointditock cent. panics; but the notes of all the hanks • ere , ece: wed without any doubt of the solvency at .he firms, whether jointatock or other. wise. In what then did the security which crested such confidence consist I It proceeded from a very safe practice which prevailed in that country. Twice a week the agents of the eespvtive banks met together fn Edinburset, and interchanged their notes. The batanee was paid in gold Jr by draughts on England. By thts means they were prevented from enterprising but at a profit, end they could not proterd to any dangermts extremity in the lapse of the three days, when they would be obliged to pay the differences, either In gold, or by draughts on the Bank of &Wand. It was in consequence of vie operation of this system that the poor were protected from eufferng those miseries which were so afflicting in this couatry. A onmplikt had been put into his hand on this sub. feet as he was euieriug the 'louse : this pamphlet was to form one of the articles of the forthtoming " Edinburgh Review ;" but the author was to impressed with its excellence, and the necessity that it should appear before the question was agl:ated in Parliament, that be published ft in &separate pamphlet tor the benefit and in. &traction of the Parliamettiwy Legislators. (A laugh.) The No. ble Earl then proceeded to reail an eatrect from the pamphlet. In which it was asserted that peopleentertoined very erroneous notions of the sthbility of the Scotch banks during the recent panic 1n this country. The fact was. that If not on the very brink of ruin, the Scotch banks were os that occasion in a state of the 4;reatest Co. tress; and if the Nutional Batik and the British Linen Company had not teepees! forward to their relief they must have bona ruined. TLe Noble Earl then rammed, and stated that at that patriot' the Fife Bank had actualty steppes) payment, and a great number of the one and two pound iasues of that bank were in circulation. But the ultimate security of the life Rank was so unequivocal, that the Britieh Linen Company stepped In, and all the notes were re• celved and paid in the course of tire days. This was what was in etanced ILE a proof of the insecurity •of the Scotch system. But if there was no prospect of ultimate security, would the British Liter Company have stepped forward to its assistance ? The.people of Scotland too well know the truth of the maxim than " Charity begins at boom." (A laugh.) They would not have relieved the Fife Bank, if they were not assured of its capability of eventually paying all demands. Bat why should the Noble Lord opposite wish to force this measure on the people ni Scotland? There was not a farmer, or a man of any other .description in that country, who did not wish that the Noble Earl would abstain from pressing his proposed remedies on that country. The two countries, from their habits, required unquestionably quite different treatment. Mercury might be found useful to sonic of the younger Blembers of that House (a laugh) ; but was it therefore to be inferred that a practitioner who witnessed its good till.cus In some such instance should turn to one of the grave personages near him, imo, insist that because anointing was found serviceable in one ease that it should be applied in the other ? This proceeding was not more ab sent than that the remedy proposed for England should be applied to Scotland. The Noble Lord would find that the shoe which was adapted to one person would not necessarily fit all feet. It. is not In hie power to force that country to abandon • favourite system for another of which they did not approve. Something might oc. cur in the course of the Session to induce him to speak on other points, but be hoped he had done his duty on the*resent occasion. A period of three years was too long for the proposed experiment. for In that time the entire substance and property of the country might be irretrievably ruined. Bat if the design miscarried, it was to by attributed th his mind to the change from a sudden great supply to a sudden great demand. The proposed measures lied a great tendency to increase the evils which they were proposed to rectify. The ltlarquiss of LANSDOWN hoped that after the observe. Vona which had fallen from both the Noble Earls (Liverpool and Lauderdale) the Ilouse would perceive the necessity which would make him avoid the Scotch fronth.c. Along that frontier a Cordon Sanitaire had been drawn, beyond which it was dangerous to tees ' pass. From the apes cites of the Noble Earls the }louse would perceive that they lied not confined their observations to the mere measures proposed by the Bill, but that they had deviated into a consideration of all its bearings on the circulation and currency of the country. He therefore hoped that the House would extend to him the same indulgence that had been already granted to the Noble Lords who had preceded him. The topics under discus sion were divisible into two parts; the first of which regarded the measures which his Majeety's hliniaters had adopted to relieve the existing distresses; and the second of which proposed to intro duce a Complete—or it• not a complete, at least a permanent remedy against the recurrence of the evils which had been experiences These two classes were entirely distinct. The one assumes the return to a fixed principle of currency, the other admits a deviation from them to meet existing exigencies. He should further call the attention of the House to witateen determined on this subject by the Government, mid of which information had been given by the Noble Earl (Liverpool) last night. As the country has come to its present state of distress, it was imprudent and dangerous to tamper with the currency. Ile had heard with surprise the statement of the Noble Earl, who had abandoned a desirable made far the melt. Dare now adopted. But, under existing circumstances, he thought there should be no half measures. If the measure was necessary let it go to the root of the mishief. The evil was not in the currency. The Government had directed the Bank of England to throw two millions of Exchequer bills into the market, but non coaster that them would relieve the parties for whose benefit they were Intended to operate. In fact, they extended no further than to that class of individuals who indulged in speculation, and the result perhaps on thee account would be productive of more mischief than good. It would therefore fail in its object. It is not wanted to increase the currency merely as currency : but since it is proposed to depart from principle, would it not be right to follow the example of the year 1/93 ? It would not, in fact, be a greater deviation from prin. ciple than the mode of compelling the Bank to bring in two mil lions of Exchequer bills into the market. It is a matter of doubt whether any immediate benfit will occrue without ultimate lost. On these grounds, without liking the precedent of interference which the measure of the Earl of liking inClOlieS E it would ap pear most advisable, since the country was in its present state of distress, to pursue the beaten track. It would have been better to have recurred to the example of 1703. This was a roost im portant point. Now with respect to the other divisicn, which is connected with the causes of the evils and the permanent remedy proposed. One of the difficuldes which presser! on himself and on the Noble Lord opposite (Lord Liverpool) WO that arising from the present state of saitirs. A question had been asked In respect to the Impropriety of meddling with the principle of free trade in this way more than in any other department. He was an rdrocate fur free trade, but nevertheless he thought that the state of the cur. reney was a subject on which the interference of the legislature was as requisite and called for la in the regulation of weights and met.. sures. It is equally necessary to secure the commuuity flora de. predation in this way, so that every individual may be sure that in what he is receiving as a commodity he be not cheated. It would be an absurd principle of free trade to allow one man to put his hands into another's pockets and to appropriate the contents. The stateof affairs was such that interference was necessary —was indis. reusable. Some persons there were who admitted that vices did exist' in the system . , but that it was proper to wait for El period of calm and tranquill ity, in order to rectify theta. He ail not know what were the precise sentiments of the Noble Earl (Liverpool) On this subject, but lie would net have any objection to yield to the sug gestion of six months' delay. if in the Interval he could put a drag on the wheel of currency. But he well knew that nothing could peseta this wheel front performing Its revolutions. He had on a Gamer tight contended, as the Noble Earl (Liverpool) argued to. night, that it was titter to proceed instantly with the work of refor. mutton than to wait until the ....ail , ' were aggravated. Be therefore thought that a full sad fair case bad been mad.: out. He intended to advert to what had beet' said on the state of the currency by his Noble Friend (the Earl of Lauderdale); but then he would ask, did not this country endure, is a state of peace, more ruin than had been 'Mitred by France in the year 1815, when it was overrun by the allies. When such convulsion. had distracted end dragged the country to calamity—when the rage of schemes and speculations was nut confined to those whose occupation aqd livelihood it formed, but had comprehended those who should hove protected the coot. tn unity against such delusions—was be not justified in asauming that the time was such ea called fur the interposition of the Legislature ? But a Noble Lord who had been not long since sitting on the Woolsack bad wade some objections on the conflict of the currency. Now it appears from experience of late years that • continual reaction has existed between currency and me thettlaa t ra ion ge . of A s s pe tte r r atioo. were iu a country afliotted and afflicted by he thought that a fair case had been made out. His Noble Friend (the Earl of Lauderdale) had as. signad another cause to account fur the distress, in conjunction with the state of the currency. He had imputed great censure to the application of the het millions which consdtoted the Sinking Fund. This he had denominated a candidate toe speculation. This effect he attributes to leaving that sum in the hands of the Comnds. stoner*, whereby it was converted to purposes of speculation, witereaui, if devoted to a Sinking Fund, tt wauid form • capital. He did nut agree in thisprop7tion, for it was the same to the two. j pie in what way it e x ist provided there was surplus. Now what was the Case with respect to the curreaay and the apecul•- don ? Previously to the commencement of these desperate specu. holm% he found that in the year 1824 the Beak of England bad increased its issues at the rata of S per cent. In the following year the country banks increased their circulation in the propor ti on of 30 per cent. Gold Immediately left the country. The first failure caused it demand for it, and than numerous failure. succeeded, which Maud distress so widely. lie could not tbetsfess Ohm his eye* to the effect of the paper lessee in the years 1824 end 1825. The Bank of England was the primum mobile which gave an arti tidel rise to prices, which could not hold long. But though these fluctuations originated from the proceedings of the Bank of Eng. land, lie acquitted the Directors from any wilful participation—tor they probably were not aware of the events which were likely to ensue, or if they did anticipate such results, they were so hampered by their connexion with the Government that they were unable to control their issues. The Noble Earl (Liverpool) had adverted to the issue of oil millions of Exchequer Bills. Should he not add to these six millions the deficiencies in the 4 per cents., which amounted to three millions and a half. But above all, the House should not forget that extraordinary Act of Parliament, that political cunundrunn or, as it had been very aptly designated. the 6 - dead weight." According tp the operations of this Act, it was deemed win and expedient tent the existing generation should raise taxes for the benefit of posterity, a hile at the same time and at the rains moment it was provided by a counter-process, equally wise and expedient, that posterity should pay an equivalent to their sage progenitors. Such, hokver , was the working of the state machine, that it deprives the Bank of England of the use of eight millions. Its consequence of these proceedings be. tween the Ciovernment and the Rank of England, it was oecessi. tetra to coutract its issues, end could not relieve t he wants of the country. Such were the fruits of this incongruous connexion. It was at the instigation of Government that the Bank lent on mortgages and Stock. He saw distinctly the great difficulty of the present system—he saw an undue iodic of paper beyond even the cuntroul of tee Bank. In 1826 came the Ides of the prosperity of the country ; then came the Address to his Majesty. Although he thought that the pfoposed measures were sound and good, he could not, however, agree that his Majesty's Ministers had foreseen the presmt dietrees, because he found that in the Address to his Majesty last year the prosperous state of the country was trumpeted torth in the most pompous terms. He was not contending that the corn. try was not prosperous; but lie war contendir g that hie Majesty's Ministers having stated that fact, could not have (aa was stated by the Noble Elul opposite) foreseen the present distresses. The ir.. tcreion of calling in the one and two pound notes gave him great pleaeure, as it would, he thought, correct in some degree the pre. sent system; Let wail the whole currency of the country was plie.:ed upon the broad basis M metallic currency, the system would be defective. Any attempt on the part of Government o prop up the country by an artificial paper currency must tall. as every peron who looked back to the system that had been pursued, would clearly observe—indeed any attempt to prop tap a paper currency, without its being converted into gold, must be impolitic. He perfectly agreed with that part of the Noble Earl's speech which alluded to the calling in of one and twd pound notes; but he Must again say, that until the currency was ma re purely a metallic one, the measure would not be perfect. and this , he thought Parliament would be obliged to do. He did join In a hope that the Directors of the Bank of England would not refuse to accede to the proposed alteration in their charter. The proposed alteration could nut possibly affect their interests. and indeed he had no doubt but that their conduct would be marked by liberality. But if they did not agree, Parliament would be able to establish branch banks, who could not push their circulation beyond a certain sum ; they would also have annual accounts published of the amount of what was circulated, which would enable the country to see the ,mtnet position in which it stood. lie had one thing more to ttoeble thew Lordships with ; It was the Scotch part of the queercre and 'tee could (ante them that he approached that part with considerable ..caution. He did not see that either Ireland or Scotland were affected like England. The same distress did not prevail in culler of the countries, and therefore the same arse m could not with propriety be applied. Upon the subordinate parts of the general question he should have ample oeportun ty for delivering his opinion ; but upon the general question itself he was sure that the Gevernment were determined to legislate with firmness and decision. Every temporising attempt wooll only be the cause of overwhelming oppression. Tne tubble speculations. aided by the paper currency, were sure to be followed by ultimate loss. Lpon the score of justice, ter their own interest, they cuelli to enter upon proposed system of legislation the reducing itadli toiting the paper currency. Lord BEXLEY did not conceive that the Bill proposed was only a half measure. Ile th o u g ht th at t h e esta bl is h ment o f b ranc h banks would be of the greatest service. Previous to the estaelish ment of branch banks in Ireland, the ruin of property was en, great In that country, in consequence of the Were of count.) , banks, as to have far exceeded any idea of so much property beer; in the .country. The Noble Marquis, in doing justice to the Directota of the Banks, did injustice to the Government. The Bank Di. rectors were not cramped in their arrangements, for they had the power of making sales whenever they pleased, which wend reim burse them fur any expenditure they had been at. The Noble Lord concluded by trusting that the tnexsures would be found to be of great security and solid advantage to the country. Lord ELLENBOROUGH thought that the proposed measures were not at all calculated to answer the end intended, for while they relieved some they distressed others, and those persons who would be injured ought to have been the persons benefitted—he meant the bankers, who were obliged to sell nut their exchequer bills. The circulating medium was greater than 1823, and the object of the ptesent me-sure waseo increase the circulating medium. This was not calculated to serve the persons affected by the present distress; persona who hail innocently engaged in those specula. tons which were so strongly gondeinned by his Majesty's Minis try. He owned that he did not view the proposed measure in a favourable point or view. The Noble Earl admitted the bill was but a half measure. Two or three of his Majesty's Ministers did not think favourably of joint-stock companies; he hoped, however, that no petty tear—no dread upon the score of papu levity, would prevent the Governmentfrom taking into their serious consideration the present system of currency, and '- reform it altogether." He was certain that no person was more anxious Sian oho Noble Earl opposite to give satisfaction to the country. Prom what fell from the Noble Earl, he supposed him favourable to re. strimion. Yet there war nothieg on this subject inserted in the Bill relative to Joint-stock Companies. The Bank of England were obliged to bear not only'their own losees,but those of the coon. try. The difficulties would. increase until the state of the country was placed en a solid basis. lie troseed that the Noble Earl wo ild propose some measure calculated to elfect so desirable an object, for no man was sate under the present system of country banks. He ceneittly viewed the question with dismay, but he trusted the Noble Earl would corns down to Parliament With some proposi tion of a substantive nature, cakulated to effect the desired object. Lord LIVERPOOL said he did not rise for the purpose of prolonging the question before their Lordships, but merely to make a few remarks on what had been said upon the opposite aide. In reply to the Noble Lord who spoke last, lie could say that neither clamour nor fear of being unpopular would prevent his Majesty's Government from pursuing that course calculated to advance the interest of the country. Ile conceived thatet was in consequence of the Noble Lord not having turned his attention to the question before them in the same manner which other Noble Lords had. done, that he was prevented from seeing the importance of its bear ing. What was the question before the House? was it want of money was the cause of the present distress ? No ; it was want of confidence. lie could relate to the Noble Lord anecdotes that had come to his knowledge of bankers declining to Issue In conse quence of the want of confidence that existed. If the mea. sure proposed went merely to relieve the holders of Exche. quer bills, some argument might be raised against it; but what was the fact?—the object of the proposed measure was to army out two millions of money for the benefit of the public generally. Ilia Majesty's Ministers thought it would matte no difference by what means the Government securities might be put in circulation ; but It was the opinion of many persons, that they could not be cir culated in the way proposed without imputation of partiality and preference. Giving the Bank all due credit, there was no doubt, but there would be complaints against it ; but the object of the measure was to relieve the motley market it general. His Lorship spoke on high authority when he stated, that to give the relief through any other medium, would be to put it in the pockets of the individuals. If their Lordships had adopted the other mea sure, a month must have elapsed before anything effectual could have been done. An Act of Parliament must have been obtained, a commission must have been appointed, and the commission must have made the necessary inquiries, before anything, could have been done to alleviate the distress of the country. There was another objection to the measure proposed in addition to this, an objection %hick must appear to all to be extremely forcible. It was a mea. sure which required the direct interference of Government, in a way in which she other measure did not. If the Bank thought the plan would increase the circulation beyond Its due proportion, it would be easy to put them out of all hazards. A great mistake had arisen front the Report of the Bullion Committee, which had induced many to suppose that the value of the currency de pended entirely upon th e circulation of the Bank ; but though teems true that much depended on the Bank, all did not depend upon it. With regard to the course of exchange, it was not the paper of the Bank of England only that was to be taken into con. sitkratien, but the whole of the paper in the country. The ex changes had been favour a ble at a time when the circulation of the Bank of England had inercued eni millions, the country banks having withdrawd more of their n otes th an the Bank of England had issued in the saute period. The circulation of the Bank is great, but it is not too great; it must be compared with the whole circulation of the country. This Commission has, therefore, been proposed as the most effectual means of putting into circula don the money which was wanted, and it will operate for the relief of the country much more effectually than any attempt to single out this or that particular class of distress. It is more simple and na tural than the measure proposed oa the other side. The Bill was then real a second time. The Earl of LIVERPOOL then moved that it should be com. mitted for Monday; in doing which he remarked that he did DOI aish to hurry it through the House. The Earl of LAUDERDALE observed that he had taken the, earliest day that he possibly could. With regard to himself, he' thought the Bill quite nugatory; but it might do much mischief by creating additional alarm. As for good or bad to be derived froth the measure, his Lordship thought it would be quite non. effective ; for which reason he should not endeavour to persuade the Noblellearl to defer it. His Lordship was indifferent whether it passed un Monday, Tuesday, or Wednesday. The Marquis of LANSDOWN asked, across the table, whether his Majesty's Ministers; bad entered into any communication with the Bank respecting their intention of establishing Inure' The Earl of LIVERPOOL (as we understood " they bad OM entered into any each communice Bank wished to establish branch banks, there non. It was better that this should be dote further should be done. The Berl of LAUDERDALE observed Wealth banks were well known ia..the pert • bis Wee connected ; and if the would belbewrebeweelees of the anowq came of th Pet? prudent sure here. It WII4 impossible to establish them; it was irup og ii, k to get agents. Ilia Lordship doubted whether it would he fir th, good of the country that the Bank of England should give up the ht which it possessed by law and if chartered innkeepers era. Wi s hed, hed his Lordship was of opinion that it would be injurious to y. Their Lordships adjourned at a opener past ten, to lifouday. ITOUSE OF COiI3IONS, FRIDAY, FEE. 17. rel Mr. M to l l ightby, from ouse the Trinity Howie, presented certai n relative t-hs. Mr. Draper, from Me Treasury, presented an amount of t h etay. ment of Exchequer Bills, am—Ordered to be printed. TITHES. Mr. Alderman WOOL/ presented a petitinn from the du tc h . wardens and inhabitants of the parish of St. Giles, Crippi egite. without, for leave to bring in • Bill to enable them to enter into em arrangement with the Vicar for the composition of Tithes. EQUITABLE LOAN COMPANY, Mr. PETER MOORE presented a petition from the a sem b„ of the Equitable Loan Company, f or l eave to amen d their Act. ABOLITION OF SLAVERY. Mr. DAVENPORT presented • petition front Go' 4let nk. Cheshire, praying for the Abolition of Slavery in the We,, Colonies. Similarpetitions were presented by Mr. Sykes, from Pneklinr on, and several townships in Yorkshire ; a l so f rom the maw*, burgesses, and 'inhabitants of Chippenhsm, by Sir John Sheik', from the chief officer, burg e sses, a nd inhabitants a Lewes; by Byng, from Woburn • by Mr. Lawley, from Alcester, in Wu. ViCkbbilY ; by Sir T. Lethbridge, from Frame Seiwood, in Seis e ,. setshire ; by Mr. Cartwright, from King's Sutton ; by Ar r . p e ,„ Moore, from Coventry ; by Mr. Baring, from Collumpton, in It,- vomshire ; by Mr. Pascoe Orenfell, from Maidenhead; also from A town in Cornwall. Mr. LEAKS Preach ted a petition from the freeholders of the coolly of Leicester, praying for the Abolition of Slavery. Sir GEORGE ROBINSON bore testimony to the respeetabi. lity of the persons who had signed the petition. GLOVE TRADE. Mr. DICKINSON presented a petition from certain workmen and manufacturers of leather gloves, against the Importatiss of foreign gloves. SILK TRADE. Mr.DICKINSON presented a petition from the silk.throuters ee several places in Somersetshire, against the importation of (Quips silks. He said that the importation of foreign silks into this coun try would ruin the trade of the petitioners ; there was, he aid. from all the information he could coll e ct o n the subject. something so advantageous in the climate of France to produce superior to. lours in the manufacture of silks, u to render it impossible for English manufacturers to compete with them. Mr. BLACK BURNE presented a similar petition from cite merchants and silk-manufacturers of itlsnchester. USURY LAWS. Mr. Sergeant ONSLONV brought in a bill to repeal the Usury Laws, which was read a first time, and ordered to be printed. The second reading of this Bill is appointed for Monday oes. night. STATE OF IRELAND. The Report of the Lords' Committee of last year on the State of Ireland was laid on the table CORN LAWS. Lcrd GRAHAM presented a petition from the County of Crer. bridge against any alteration in the Corn Laws. Mr, HUbf E presented a petition from the Corporation et' Breehin against the Corn Laws. MR. KENRICK. The Order of the day on •' the charge against Mr. Kenrlrk" being read, Mr. DENMAN tnoved that the Speaker leave the Chair, cut that the House resolve itself into a Committee thereon. The SPEAKER said that betore he left the Chair it would be requisite to be informed what course was to be pursued. If the House went into a Committee without any restrictions, then they wooed be obliged not only to inquire into the charge against Mr. Kenrick, but crime to some resolution upon it. If, on the other hand, the Committee wan to take evidence only, the House might be restrained from expressing any opinion. lie thought it at all events expedient that the course to be pursued should be under., stood. __ Mr. DENMAN said that it was his wish to enter as folly* possible into the whole ease, aid at"er the inquiry he should con. alder it his duty to propose certain resolutions founded upon it. Mr. PEEL said that he would not anticipate what might be the nature of the cue, wl h which he professed himself unacquainted. if evidence was t.sken before the Committee, it might be thought necessary, suhsequentiy. to submit the entire ease to the House. Mr. DENMAN thought the most constitutional and prom mode of proceeding was to go into a Committee of the whole Wiper of course it was open to the House to take what course it thougt.o flt ; bt,t it was his wish to have the entire matter before the vier of the House. The SPEAKER said that his view of the case was, that if the Committee went through all The evidence, and then made a report without adducing the evidence, and the House was to have the evi. dente taken b:ture the Committee with the resolutions, It might throw a doubt upon the proceeding. Mr. PEEL 'aid it would be right to consider, whether it would I he proper to ddress the Crown toe the removal of a mag istrate upon suspicion of improper conduct, tin a resolution of the House. He was quits sure it would not be competent for the House to ad. dross the Crown for the removal of a judge upon such resolutions. Mr. ARERCROMBY said, that upon an examination of thfs ca.e it n lithe be found not to amount to so grave an offence as to induce the Crown to interfere ; but if they paused here, in chat situation would the House find itself ? A resolution had bee . come to, condemning the conduct of a certain individual ; this re- solution had, as a matter of course, its place upon the Journals of the House ; if, then, the proceedings were to go no further, if the House were not allowed to resolve itself into a Committee. for the purpose of pursuing the Investigation, the charges must ranee unatswered ; the character of the individual impeached must con_ tinue to labour under the stigma which had been cast upon It. If he viewed the subject in reference to the administruuon of tie justice of the country, this was a cue which could not be disposed of with too much care, not only as regarded the Ind. vidual, whose stake, It must be admitted, was considerable • but al,o as respected the public, who were entitl e d t o a st ill h igher consideration. The power which the House possessed, of being able to intinire into the conduct of the Judges of the country, was of :he first importance ; to deprive them of it would be to destroy one of their most essential liberties. Mr. DENMAN said the consideration which induced him to prefer the first of the alternatives suggested, was his not seeing how Counsel could be heart! if the second were adapted. If, how. ever, it was dee:tied more expedient to hear Counsel on the proof, after it had been given to the Committee. he was ready, by con , ceding the point, to yield to the wishes of the House. (Hear.) The SPEAKER observed, that the adoption of either sat the courses would allow of Counsel being heard. The Hon. W. LAMB could not approve the manner in which the House was proceeding. It was no part of the duty or right of the House to institute an inquiry into the conduct of a man who was not a public individual. When he was told it was the duty of the House to watch over the conduct of the Judges, he wee told that to which he could not assent ; it was fair and proptr this body of men should be subject to such a ontrol ; but it became ano ther thin; when the House was asserting its right to inquire Into a man's private affairs (hear, hear), even though the i,idividual in question were in a public and responsible situation (hear, hear); and he should be very sorry to see such a censorising power extra. cised in any assembly, or by any body of men. lie begged it !O be understood he had no connexion or acquaintance with Mr. Ken rick. The present observation arose from a desire that there might tot be a bad precedent created. It had been Motel Mat if the proceeding were now abandoned, the House would, be committing a great injustice both to itself and the in dividual; but he was of a decidedly different opinion. One of the charges against Mr. Kenrick was, that he had offered to Franks a commutation of punishment if he would plead guilty to a certain extent. How often did not this happen ? Nay, he would ask the Learned (lent. who originated the business before the House, how many such cases had kenot been party to in the exercise of hisprofes alonal duty ? Surely that was a common result of judicial proceed ings. He could not help feeling that it must be manifest to aye one reading the charge he referred to, that the proceeding ought: to be abandoned. Under the circumstances he could not consent that the Speaker should leave the csssir ; and he should move assn amendment that all the words after" that" be omitted, and that.. " the Speaker do hot leave the chair" be substituted. Colonel WOOD said he was at a loss to find out in what the charge against Mr. Kenrick consisted. In the documents before the House he had been introduced both as a Magistrate and one of the Welsh Judges; but he (the Hon. Member) could not find that in either of these capacities he was Implicated to any snett way as to call for the interference of the House. They ought to be careful in the adoption of such a course of proceeding as the present; it was opening a very wide field. In his opinion the safer course would be to adopt the resolution of his Hon. Friend. which he (C , lonel Wood) would second; the other might lead to difficultiel which it was advisable to avoid. Mr. secretary P)EL said, before the amendment wee pat he would observe, that when on a former occasion this business w► brought before the House, he thought there was great weight in the charges and observations made by the Learned Gentleman, arid they permitted the charges to be taken. It was then proposed to postpone the inquiry, and that being acceded to, there was certainly no intimation given that Ministers would make any opposttien to the institution of the inquiry. (Hear, hew%) On these grounds he would give his assent to the motion of the Learned Gentleman. If this were merely a question of the misconduct of private it were merely some private transaction Inferring sort• &egrets.. but not such as the law could take cognizance of—he should agree with the lion. Member who moved the amendment, that this was not a fit subject to bring before the House. This billhook:. how vet, did not appear to be of quite a private nature. If Me. Ken rick, when he charged the person named Franks with • Moe), made the charge with a malicious feeling, it unquestionably was a intim for serious cousideration ; but If this supposition ahouhl bit sve Sibs- ling beanthtrinki. Sold to have originated in some mistake, the case would be alto- rstood hint) said that pekoe different. IVhat might be the result of the inqttivp he oication; but if the. was not prepared to sat, not being acquainted withits merits. That e could be no objec- the investigation involved some difficulties he was reedy to adieu- * than that nothing He tenden hared also that in point of precedent itled rather? is dangerous cy. that the effects of Mr. SCARLETT had only. just looked at the nature of the pro- of the country with seeding', and found there were two enure ageless Mt. Remick ; is Bank of England the one was malicious prosecution of ID. Frosts, and the cease a C these espablishntersta libel on the tame individual. If these Share. bed shed twos- ent to adopt the row It Wald her. doubtless suggested 'mu to 4.11, liolgoolb" THE BRITILSII PRESS. r