The Sun.
London, England, 1857-02-07 00:00:00

ficulties of the RUSSELL Administration were occa.

sinned by the gross mismanagement of the finan-
cial department. Now what has Sir G. C. LEWIS
effected during the two years that have elapsed
since he was pitchforked into an office for which
he was by no means qualified ? During the first
session he was excused from doing anything.
Ample allowance was made for this recent ap-
pointment, and it was hoped that by giving full
time for consideration he might at length effi-
ciently discharge the important duties that de-
volved upon him. It was clear that he was not

a brilliant orator—that his financial statements

would afford a very deplorable contrast to those
of Mr. DISRAELI or Mr. GLADSTONE ; but still he

might make up by soundness of principles and
comprehensiveness of plan for his painful defici-
ency in that particular. In 1855 he added 2d.
to the Income Tax, but suggested no modification
of the unjust and impolitic assessment. He also
increased certain indirect duties on malt, tea,
coffee, and spirits, materially enhancing the cost
to the consumer of artiWs, which, in the three
first cases, were of almost primary necessity, and
in the latter giving great encouragement to the
demoralising traffic in illicit spirits and occasion-
ing a loss to the Revenue. Last year his finan-
cial scheme was an entire blank. No change of
any kind was proposed. It is impossible at
present to say what will be his 'plaa during
the present Session. But from the indications
already supplied by the lucubrations of his
Fidus Achates of the Fourth Estate, it requires no
extraordinary powers of vaticination to declare
that, but for the indignant excitement that pre-
vailed throughout the length and breadth of the
land, it would only be signalised by the attempt
to carry the " pettifogging quibble" into prac-
tical execution. According to the Times the pec-
plo should submit to destiny. It was useless to
truggle against what was inevitable, or, at all
events, was a question of expenditure rather than
of taxation ; but now that he has been compelled
to witness the demolition of " that slight con-
venient entrenchment in the distance," it is an-
nounced that " the most that can be expected is
to be rid of the extra Income Tax." And the
echo from Downing-street exhorts the nation " to
let the Chancellor of the Exchequer concentrate
his mind on this one achievement." Consequently
there is nothing else to be expected at his hands !
So much for his fiscal performances, or rather
non-performances, in which he has displayed as
strong a development of the vis inertice, as power-
ful even as Sir CIIARLES WOOD himself—now as
to the great monetary problem, on the due solu-
tion whereof the future welfare and prosperity of
the country so greatly depends. All he proposes is
to renew the Charter for ten years, and to get a
trifling sum, in addition to what he at present
receives, from the Bank, for the removal of its
privileges—a demand with which the Directors
will only be too happy to comply. It is true that
he has asked for a Select Committee in order to
shirk the responsibility of the mischievous mea-
sure. But after the announcement of his views
and intentions last night, it is manifest that he
contemplates that its Report will be a foregone
conclusion, and that he may discharge his formid-
able missile against the trade, commerce,
and manufacture of this country, under
the protection of its shield, without
being held answerable for the more than probable
results. In this, however, ho may possibly
" reckon without his host." If a fair and im-
partial committee be selected, if a searching in-
vestigation be instituted into the operation of the
Act, something yet may be effected. But yester-
day we deprecated the reference to a committee,
as calculated to shelve tile .ell-important question
for the entire session. Now, wo hail it with joy,
as affording the only chance of obtaining any
amelioration of the impolitic restrictions. There
were unquestionably ample materials for legislation.
The Report of the Lords' Committee in 1848 sup-
plied ample data, but Sir C. C. LEWIS seemed to
be completely ignorant of the nature of that
Report. He said the Committee (the Lords')
" did not, he believed, recommend any alteration
of the Acts." Now, that Committee declared
that, " the recent panic was materially aggra-
vated by the operation of the statute ;" adding,
" this effect may be traced directly to the Act 0f1844
in the legislative restriction imposed on the means
of accommodation ; and it may be traced to the
same cause indirectly, as a consequence of great
fluctuations in the rate of discount, and of capital
previously advanced, at an unusually low rata of
intereut." But it may be said, this is not a re-
commendation for any alteration in the Act. It
certainly uuequivocally condemns it, but that is
all. Now, at the end of the report the following

passages occur :
" The following is an outline of the arrange-
ment which the Committee would recommend—
" They would propose to establish the issue
department on an entirely separate footing, and to
place it under the management of Commissioners
to be appointed by the Government ; but not to
be removable from their office, except upon an
address to the Cnows by one or both Houses of

Parliament.
" It should be a fundamental condition
that no species of money transaction should pass
between the Commissioners and the Government,
and that the Commissioners should on no account
lend money to the Government, nor should they
be in any way under its control or influence.
"The Committee would propose that five such
Commissioners should be appointed, and that they
should have the power of issuing notes payable in
specie on demand, as the Bank has at present.
" The Commissioners should to always obliged
to purchase any quantity of gold that may be
offered to them, of standard fineness, and exceed-
ing 100 ounces in amount, at a price of 31. 17s.
6d. per ounce, so as to provide against too great
a limitation of the amount of paper circulation ;
and the Committee incline to the opinion that it
would also be desirable to make it obligatory
on them to sell gold, if demanded, at a fixed
price, say at 31. 17s. 93. per ounce, keeping
the price below the Mint price, so as to prevent
the exportation of coin. By thus regulating their
issues according to the market price of gold, the
Commissioners could never err in the manage-
ment of this part of their business.
" The Committee would propose that the
Commissioners should, in the first instance, pro-
ceed to issue eleven millions of notes to pay the
debt due by the Government to the Bank, and
three millions in addition for the purchase of
Government Securities. Thus making a total
issue of fourteen millions as at present, founded
on the credit of the Government. They should
further issue such an additional amount as might
be necessary to purchase a sufficient store of gold.
" By the adoption of this plan the Committee
conceive that the mercantile community would
receive an equal amount of accommodation as at
present, the plan being intended to keep the same
amount of paper in circulation, leaving the Bank
the same amount of capital to lend to merchants
and other?.
"The Committee are also of opinion that it might
be proper to allow the Commissioners to issue
notes to banks, not only in exchange for gold, but
further, in some proportion to the funded property