The Sun.
London, England, 1822-05-03 00:00:00

BANK OF ENGLAND.

Yesterday a Court.of Proprietors was held at
the Baltic Of England upon special affairs. The Court was
crowded to excess, and considerable anxiety was manifested to
hear the communication which it was understood would be
made from the Court of Directors.
THE.BANK CHARTER.

The GOVERNOR, accompanied by a large body of Directors,
entered the Court at 12 o'clock, and stated that early in the
month of April they had received a communication from his
Majesty's Gov,ernment upon the subject of a renewal of their
Charter for 10 years from its present date, upon certain condi-
tions, which were embodied in a letter addressed to the Governor
and Company, by the Earl of Liverpool and the Chancellor of
the Exchequer, which, with thepermission of the Court of Pro-
prietors, he would now read., It was as follows :
, " Fife-house, April 26, 1822.
" GENTLEMEN,—In consequence of the several conversa-
tions which we have had with you, on the subject of the pro-
position for some relaxation in yOur exclusive privilege, as far
respects the number of partners who may be engaged in any
banking establishments in England, we request of you now to
submit the following proposals to your Court, as the result of
the discussions which have taken place between us :
" That the Governor and Company of the Bank of-Eng-
land should consent to a provision being inserted in an act to
be passed for that, purpose, that from and after the passing of
such act, it shall and may be lawful for any number of per-
sons in England, acting in co-partnership, and residing and
carrying on their business not less than 65 miles from London, to
borrow, owe, or take up any sum or sums of money on security
of their bills, in notes payable on demand, at any place ex-
ceeding the distance of 65 miles from London; all the indivi-
duals composing such co-partnership being liable and respon-
sible for the due payment of such bills and notes ; but that no
other power, privilege, or authority, shall, previous to the Ist
day of August, 1844, nor until after repayment to the said Go-
vernor and Company of all such sum or sums of money as now
are, or shall or may hereafter be, due to them by Government,
be granted, to any copartnership or society of persons whatso-
ever, contrary to the laws now in force for establishing, regu-
lating, or continuing the Bank of England, save and except
the power to persons in England, acting in copartnership, and
residing and carrying on their business not • less than 65 miles
from London, to sue and be sued in the name of a public officer,
if Parliament shall think fit to grant such authority.
" That until the Ist August, .1844, no co-partnership or
society of persons, exceeding six in number, or any body or
bodies politic or corporate residing, or having their establish-
ment or house of business within sixty-five miles of London,
shall issue any bill or bills and notes contrary to the provision
of the 39th and 40th George HI. c. 28.
" In the event of your Court being willing to, agree to such
relaxation of your present exclusive privileges, we shall be
ready to propose to Parliament that the time for giving notice
for redeeming and terminating the exclusive privileges of the
Bank shall be extended for ten years, such notice to be given
at any time after the Ist of August, 1843, instead of 1833, as
provided by the 39th and 40th George 111. c. 28.
" That the permanent debt of 14,686,8001. due from Govern-
ment to the Bank shall continue upon the same terms and con-
ditions, and at the same interest as at present, until redeemed.
" That during such extension of the charter of the Bank, all
sums of money which now are, and shall become payable, for
any part of the public revenue in England, shall be received and
accepted by the collectors, receivers, and other officers of the
revenue in England authorized to receive the same, in the notes
of the Bank of England, payable to bearer on demand, or in,
current coin of the realm.
That nothing in this arrangement shall in any degree affect
or vary the rights, privileges, emoluments, or advantages, to
which the Bank is now entitled under any Act or Acts of Par-
liament ; or under or in pursuance of any employment by or on
behalf of the public, except as is hereby expressed,'stipulated,
and provided.
" We have the honour to be, Gentlemen, yourvery obedient,
humble Servants, " LIVERPOOL.
" . •
" To the Governor and Deputy-GovernNorVANSITTART.
of the Bard of England."
The GovEarroa then informed the Court, that the Directors,
having maturely considered the terms of the above letter, had
adopted a Resomtbn declaratory of their concurrerce therein,
which they now submitted for the approbation of the Court of
Proprietors.—(Hesr, hear.)
Mr. SHAW extolled very highly the prudence of the Di-
rectors, and their solicitude, as well for the interests of the
Proprietors as for the nation at large; anti proposed a Reso-
lution to the effect that the Court approved of, the terms on
which the Charter of the Bank was to be renewed, and that
the Directori should be instructed to carry the proposed ar-
rangement into execution, in case it obtained the sanction of
Parliament ; and also, that they be empowered to make known
to,Parliament their opinions upon the, subject.
Mr. YOUNG thought the question was of such vital import-
ance, that some adjournment would be desirable, in order to
enable the Proprietors t) form a sound opinion upon it. He
was proceeding to comnent on the probable effects of such
establishments, and on tie extension of the currency, when a
desultory conversation arise between several of the Proprietors,
in the course of which it was declared that country banks would
have the opportunity of raking their payments either in so-
vereigns or in paper. .t was stated by the Chairman in the
course of the conversatbn, that although the Bank had the
power, it was not their intention, at present, to issue any smal
notes.

•
Mr. RAN-nLE Jacitspx considered the measure fraught
with danger ; but no nun was more anxious than he was to
meet the views of Goirenment in relieving the distresses of the
country ; and if the Res)lution was, the Court of Proprietors
" consented" to, and lot- approved the terms on which the
Charter would be renewd, he should give it his support, for
he considered it rather u measure to be submitted to than de-
sired. • •
Mr. Rax-NrEs, of*Sonersetshire, 'seconded the Resolution,
and expressed his convicion that the Court of Directors, in ac-
ceding to the measure, wre actuated by the most liberal views
for the general benefit. De combated, as unfounded, the in-
sinuations which were thrown out against the Bank, that they
never conceded ally thin; hut for valuable considerations,—that
their profits were too lage,—and that the distresses of the coun-
try at large were to be attributed to the system pursued by the
Bank of England. Ater the concession which they now made,
he hoped that such narges would never be revived. The
drawing in the paper-crculation had been considered as a rash
and presumptuous mesure, fraught with the most dangerous
consequence ; -but beheld, that the step had not been adopted
by the Court of Direcors less for the public benefit than for
the reasonable privateadvantage of the Bank. After some fur-
ther observations, theipeaker concluded by expressing his most
hearty concurrence inthe measure. •

Mr. HOARE exprssed his assent to the measure. He wish-
-ed to impress upon he Meeting that they were about to give
up a most valuable trticle, anti deprecated the idea that they
should receive the Foposal as a boon ; but held that it should
be consented to as ; measure to be adopted for the security of
the wholecountiey.
Mr. STucKEYsaid he should not attempt to follow the
Hon. and Leamec Gentleman through his long speech, but
he thought it very unwise so much to allude to Gentlemen not
present, and to wlat passed in other places. They met there as
Bank Proprietors: and in that capacity he should say a word
or two on the measure before them. Whateverobjections there
may be to the scheme its:elf, it seemed to him that it ought to
receive the sanction of that Court. The Directors appear to
have made what may be called a good bargain: Ile wished in
all other instances they had equally attended to the interest of
their constituents. Mr. Ricardo's name having been often
mentioned, he would tike that opportunity of saying in the
presence of all the Directors, that in his (Mr. Stuckey's) opi-
nion, they had losi for their Proprietors more than a million,
by not adopting to the full extent what is commonly called the
Ricardo System, by paying in uneoinedgold. The Directors
appeared to him •to have mistaken a circulation of coin for a
standard of. value, by which, he again repeated, they had lost
for their Proprietors inore than a million sterling.
A PROP RIET oit asked, in the course of the discussion, whe-
ther the Bank had given up all idea of adopting a better
note, or a better paper for their notes than those they now
set forth ?

The CmtruatAN.. answered, that the Bank had now a plan
under ctnsideration.

After some further observations it was agreed, that the word
" approved" should be omitted in the Resolutions, which then
read,--." That the Court consented to the proposition contained
in the letter of Lord Liverpool," &c.
The Resolution in that shape was put and carried unani.
inously, when the Court adjourned.