The Sun.
London, England, 1855-12-06 00:00:00

Y EVENING, DECEMBEn 6, 1855.

the field of battle in•the Crimea is too just and too lofty
for iine not to feelit an honour that the colours of Sac.-
dink haire mbar d in dangers the precursors of common
gloties—tie4 the most certain to render durable the union
betirget-n.countries.
a Continue, gentlemen, to consolidate our alliance by
new successes."
The Lord Chancellor and Lady Cranworth, the
Turkish Minister and Madame Musures, the Earl
and Countess of Derby, the Earl of Mb.lmesbury,
the Earl of Harrowhy, the Earl of Liican, Lord
Wedehouse, the Right Hon, the Speaker; Sir George
Grey, the Right Hon. M. T. Baines, _ the Right
HoOi. Sidney Herbert, the Right Hon. W. E. Glad-
stone, Baron Maroehetti Vice-Admiral Sir Thomas
Cobliranet and Captain plilne, R.N., left to-day.
The Duke of Richmond,. the Duke ot Northum-
berland, the Duke of Cleveland, tha,Varquis of
Exeter, the Marquis of Camden, the of Car-
lisle, arl Fitzwilliam, -Sail de Grey, par] of Elles-
mere, and the Bishops of Winchestetand Oxford,
who were present at the Chapter of the Garter, re-
mained at the Castle on a visit to the Queen.
The Earl of Mulgrave9 the Earl of Bessborough,
Lord Ernest Bruce, and Viscount Drumlanrig also
arrived on a visit to-day..
At a quarter-past 7 o'clock, a Greed Banquet was
served in St. George's Hall. The Queen, the King,
thii Prince Albert, and the memberi of the Royal
Fainily, with the respective Courts of Great Britain
and Sardinia, assembled in the Throne Room.
Her Majesty's guests on a visit to the Castle, the
Knights of the Garter, the Ministers, aid the
nobility and gentry who had been honoured with
invitations, met in the Grand Reception Room.
by tn dinner being annaueoed the Weep, aandeeted
, he King of Sardinia,t-proeeedad to ilie-R•414,
preceded by the Great Officers of the Household ;.
the; Royal personages came iminediately after their
M4jesties, and the general company followed from
the Grand Reception Room. On the entrance of
the Queen and King in the Hall the band com-
menced playing the " Fanfare Sarde." Her Ma-
jesty took her seat in the middle of the north side
of the table, having the King of Sardinia on her
right hand. His Majesty wore the Insignia of the
Order of the Garter. His Royal Highness Prince
Albert sat opposite the Queen, having the Royal
thichesses on either side. Behind the Royal party
onjeach side were stationed a special guard of her
Mjesty's Hon. Corps of Gentlemen at Arms,
unqider the command of the Lieutenant. A body of
the Yeomen of the Guard were posted at each end
of the hall. All the gentlemen appeared in full
uniform, court or official costume. The banquet
was served with the greatest magnificence. The
sefvice was entirely of gold plate • down the centre
of the table throughout the whole length were a
subcession of the most• beautiful vase, epergnes,
wine coolers, and candelabra, all in gold plate. Some
of the vases were adorned with artificial flowers.
Immediately before the Queen was placed the St.
George's Candelabrum. This is of large size and.
noble proportions, and bears 12 waxlights ; on the
base are figures of the infant Mars, and it is en-
dolled with national emblems and badges. The
wnole is crowned by a statuette of the saint on
hdrseback in combat with the dragon. In addition to
the great number of beautiful articles appropriated
td the service and decoration of the table two
lai•ge and lofty buffets were erected at each end of
the hall, lineal with crimson, for the display of the
more artistic and ornamental specimens of gold
phite and articles of vertu in the Royal treasury.
Op these were displayed the shield presented by
the King of Prussia to his godson, the Prince of
Wales. The shield of Achilles, designed by Flax-
man ; a very large salver, the border of which was
designed by Flaxman ; the National Cup, sur-
mounted by St. George ; Cellini's Nautilus Cup ;
two ivory cups, carved by Cellini ; two crystal
cups, presented by Queen Charlotte to her son
George the Fourth on his coming of age, the solid
geld salver, made by order of George the Fourth ;
some jewelled tankards, bulb cups, and a large
golden box of East India workmanship.
At the conclusion of the banquet the Lord
Steward gave " The Health of his Majesty the
King of Sardinia," when the Sardinian National
Hymn was performed by the band of the Grenadier
Guards, who were stationed in the gallery.
The dinner party included his Majesty the King
of Sardinia, their Royal Hignesses the Duchess of
Kent, the Duchess of Cambridge, the Princess
Royal, the Princess Mary of Cambridge and the
Duke of Cambridge, his Serene Highness Prime
Edward of Saxe Weimar, the Duchess of Suther-
land, the Dukes of Richmond, Northumberland,
and Cleveland, the Duke and Duchess of Wel
lington, the Sardinian Minister, the Marquises of
Breadalbane, Lansdowne, Abercorn, Exeter, and
Camden, Lady Fanny Howard, Baroness de Spaeth,
Lady Caroline Murray, Lady C iroline Barrington,
Lady Isabel Howard, the Earl and Countess
Spencer, the Earls of Carlisle, Aberdeen, Fitzwilliain,
Clarendon, Bessborough, de Grey, Ellesmere, and
Mulgra ye, Viscounts Palmerston, Drumlanrig,
and Sydney, Lord... Ernest Bruce, the Bishops of
Winchester and Oxford, Lord Foley, Lady Emily
Cavendish, Major-General Hon. Charles and Mrs.
Grey, Miss Barrington, Colonel the Hon. C. B.
and Mrs. Phipps, Miss Phipps, Sir George Cou-
per, the Field-Officer in aiting, the Silver
Stick in Waiting, Sir Augustus Clifford, Sir
Charles Young, Sir William Martins, Colonel Sey-
mour, Captain Sayer (23d Fusiliers) Count Cavour,
Duke Pasqua, Chevalier Maxime d'Azeglio, Major-
General Count Morozzo de la Rocca, Major-Gene-
ral Chevalier Luserna Angrogna, Major-General
Chevalier Carderina, Chevalier Riheri, Colonel
Chevalier Cigala, Captain Count de Barone, Cap-
tain Count de Robilant, Captain Count de Persano,
Chevalier N gra, Lord Byron, and Colonel the
Hon. A. N. Hood (in attendance on his Majesty the
King of Sardinia), the Dean of Windsor, M tjor
Home Purves, and Colonel the Hon. James Mac-
donald.

After the banquet, the Queen, accompanied by
the Royal Duchesses, the Princesses, and the other
ladies present, entered the Grand Reception Room,
end were afterwards joined by the King of Sar-
dinia, Prince Albert, the Princes, and other gen-
tlemen.

THE WAR, TRADE, AND MONEY.

A meeting was held, last evening, at the London
Tavern, to consider the state of our monetary system,
and the influence of the Bank Charter Act of 1844 on
domestic industry and foreign commerce. The chair
was taken by Mr. Francis Bennoch ; besides whom were
on the platform Messrs. A. Spottievvoode, Alexander
Wilson, W. Littlewood, J. Ingram Lockhart. H. In-
gram' Leone Levi, E Capps, of London, Mr. H. Ayres,
Col. Macdonald, Messrs. W. Pare, of Dublin ; T. C
Salt, of Birmingham ; Alexander Alison, of Glasgow :
J. L. Thackeray, of Nottingham ; E. V. Neale, and
others. The room was about half full.
The CHAIRMAN said that the object of this meeting
was not to consider the policy of the war. However
glorious, war was, at all times, attended with horrors
which could not be exaggerated. But the question for
the traders and merchants of London was, how it
happened that this great war should be attended
with horrors of such kind, that they sapped the very
foundation of our national industry ? The question
would come, how was it that our trade, which in January
last was suffering from a collapse, arising, as was said,
from the uncertainty of affairs in the Crimea, and from
the horrible sufferings of our army there, and which •
soon after that period experienced a gradual improve-
ment, during the months of January, February, March,
April, and up to July, until a tide of prosperity, in
every branch of productive industry, set in, such as
had scarcely ever before been experienced in the his-
tory of our great country—how was it, that in July
and August again uncertainty and the fear of ap-
proaching dangers seemed to prevail—how was it
that the orders received from foreign countries suddenly,
in the beginning of . S Istember, were withdrawn, re-
duced, or cancelled--how was it that the retail trade of
England began to feel the effects of that tremor which
the. affected the commercial atmosphere—how. -wets
it that large warehousemen, with their stocks in
hand, began to feel, by sad experience, that the demand
was daily lessening—how was it that the manufacturers
throughout the kingdom suddenly -discovered that the
goods they bad been producing for several months began
to hang upon hand, and could not be sold except at re-
duced and sometimes ruinous prices—how was it that
within a period of seven weeks the hopes of England, in
regard to its commerce and merchandise, and its inter-
nal trade more especially, were made to decline, in the
manner which he had thus described ? (Cheers.) This
was the question for the consideration of the meeting.
They found now that manufacturers were obliged to
give notice to their workpeople of a reduction of wages,
and that the population of the manufacturing towns,
instead of being cheerfully at work, were unable to live,
in these hard times, upon the reduced wages allowed for
the subsistence of themselves and families. Such was
the scene presented by Manchester at this mo-
ment. The great social problem, which it was for
the present meeting to attempt to solve, was the
cause which had produced, out of the most complete
and hopeful prosperity, within three months, a condi
tion of adversity such as was perfectly appalling.
Lord Palmerston had lately declared that commerce was
the great mine of national resources, by which armies
and navies were furnished for the war. But he could
not mean to say it was necessary that commerce should
sos'ain ouch privations as these for the purpose of car-
rying on warfare. If it were so, could the resources of
coo 'nem. be depended upon, liable to such great priva-
tions ? The nation was only wealthy when the great
mass of its labour was profitably employed, and whilst
there was a sufficiency of the means of payment for the
daily work which was done. It was not a rapid rise of
the prices of foreign produce—it was not a busy activity
in Mark-lane, or in Mincing-lane, which indicat, d the
prosperous condition of the nation. Nor was it
always the state of our money market, for
there might be a large amount of money,
whilst the nation was suffering for want of a proper
application of it ; and when are channels of industrial
enterprise were stopped, we might find Consols rising,
because men had not the opportunity of investing their
capital in productive industry, and so they invested in
the national securities and raised their price above the
natural level. The principle which he would lay down
was, that an abundance of money, at a moderate price,
was essential to the well-being of society. Every news-
paper, and every authority in the kingdom, declared
unequivocally that the cause of our present depression
was the withdrawal of a certain quantity of gold from
the cellars of the Bank of England. All the distress
which we were suffering, and with which we were
threatened, was traced by some parties to the simple
tact that an amount of bullion not exceeding four mil-
lions bad been withdrawn during the last four or five
months from the Bank of England. Now, how did
this work ? The amount of notes issued by the Bank
of England, with the provincial, Scotch, and Irish
banks, was about 42 to 44 millions. These notes
depended for their convertibility upon the quantity of
gold in the cellars of the Bank of England. That quan-
tity was now about 11 millions ; so that four millions of
notes rested upon one million of gold ; and upon each
million of notes rested from four to five millions of bills
of exchange. So that each million of gold in the Bank of
England sustained a circulating currency of from 18 to
20 millions. Thus the withdrawal of one million endan-
gered, or disturbed, the circulation of at least 20 millions ;
and the four millions of gold withdrawn disturbed the
circulation of the large amount of SO millions of currency,
upon which the welfare of the country depended. But
this was not all the mischief. The banks in Scott 'lid did
not depend entirely upon a golden basis, but they were
compelled, by the act of 1844, to have in their possession
a certain quantity of gold, beyond the maximum issue
at a particular date returned to the House of Commons.
Those Scotch banks, in consequence of having faith in
the credit of a large number of their clients, had issued
notes considerably beyond that limit ; and they were
compelled to bold gold for every note which they issued
beyond that limit. The result was, that at present there
was no less than 1,250,0001. value of gold held by the
banks in Scotland, which they did not require, and would
rather be without. They had offered to Government to
take, instead of that gold, consols, or other state secu
rities, or anything which was really exchangeable and of
value, and to give back to the Bank of England that
which the Bank of England required, the gold which
they held, and for the want of which our commerce aas
starving. Now, the arrival of a million of gold from
Australia was enough to rai-e the price of Console 11 or
2 per cent. ; and why, therefore, should not the same
advantage be gained by bringing one million from Scot-
ian 1, wh( re its was much nearer home, and not at ail
required, into the coffers of the Bank of England ? Yet
this inflexible law Still injured the banks of Scotland,
by els`iging them to retain a million and a quarter' for
which they obtained no interest, and which was kept
away from England, where it was so much needed.
He then complained that the variations in the rate of
discount, which were caused by the present system, ex
cited a gambling spirit amongst the mercantile commu-
nity. On the let Sept. last he said the rate of discount
was 31 per cent., and Consols stood at 91. Within seven
weeks from that time the rate of discount was raised to
7 per cent., and Consols came down to a little above 80.
Now what was the amount of loss which this difference
created in the value of our funded property? The amount
of our funded property was close upon 800 millions, and
4 per cent, upon that. gave us a difference of no less than
32 millions sterling caused within seven weeks. What
was the effect upon our railway property ? Taking 26 of
our largest railways he discovered that on the average
the difference in the value of their shares during the
seven weeks was nearly 10 per cent. We had almost 300
millions sterling invested in railway works, and if the
loss were to be taken at only 8 per cent., there was a
diminution in the value of our railway property
within seven weeks to the amount of twenty-four
millions sterling. It was estimated, moreover, that we
had engaged in manufacturing and commercial enter-
prise, a capital equal to 600 millions sterling. Now,
everybody who had commodities to sell must know that
the difference between selling in August last and selling
now the produce of the national industry would be at
least 10 to 121 per cent., if one were to be compelled
now to go into the market. But, estimating the loss
upon the same basis as that upon the railway shares,
there was an aggregate difference of 48 millions sterling
upon the value of that kind of property. In other words,
he discovered within seven weeks, in our funded pro-
perty, railway property, and commercial property of
various kinds, the terrific reduction of one hundred
and four millions sterling, a sum nearly ten times the
value of all the gold in the coffers of the Bank of
England ! It might be argued that because all this
property was not to be realised now, therefore
the loss was not sustained, and the nation was none
the poorer, because the same dividends were pay-
able on Consols as before. But if Consols at 100/,
per cent, were to be taken as evidence of the nation's
prosperity, he was justified in taking their lowest price
as an indication of the nation's adversity ; and those in-
dividuals who were obliged to sell did suffer to the ex-
tent he bad described, by the operation of a law over
which they had no control. After a comparison of the
proportions which the amount of the currency bore to
our population at different periods from 1815 to the pre-
sent time, he referred to the immense increase of our
trading transactions, which, he said, had been multiplied
at least fivefold since the year 1819 ; so that according
to the proportion then observed, they now required a
circulation of at least 100 millions sterling. He observed
that the act of 1819, and the act of 1844, equally failed
to attain their object, to secure the convertibility of the
bank note ; that the existing legislation upon this subject
ought therefore to be amended or swept away ; and that
it was necessary to provide some circulating medium
which should not be liable to such disastrous fluctuations.
Lieut.-Col. MACDONALD then moved the first resolu-
tion :—"That the meeting is of opinion that the existing
laws for the regulation of our currency
have produced,
and are calculated to perpetuate, great and frequent
fluctuations in the amount of the circulating medium,
and thereby to produce periodical panics and pressures on
the money market highly prejudicial to trade and com-
merce, destructive to productive industry, and ruinous
to national prosperity.
Mr. T. C. SALT, of Birmingham, seconded the resolu-
tion, observing that the laws which regulated the cur-
rency were the most mischievous enactments on the sta-
tute book, and would appear to have been devised by
men who were alike destitute of sense and of humanity.
The crirainality of the Government on this subject was
only to be equalled by the igura49.of On people.