The Sun.
London, England, 1857-12-09 00:00:00

have been issued three weeks earlier. He had much
pleasure in supporting the bill, though he believed it did
not go far enough. He reviewed the panic of 1847, and
said he objected to the responsibility of issue being left to
the directors. It was the stringency of the issue that
caused the mischief then and now. The effect of the
measure was to create distrust, and when a panic hap-
pened securities were of no use from the impossibility of
their convertibility. The Bank Act had the effect of
crippling trade, and turning the country from a commer-
cial country into one of usurers. It was impossible that
men could carry on trade with 10 per cent. discounts. He
hoped that the Government would, on Friday, instead of
moving a committee, come forward with an announcement
that during the recess they would propose a bill that
would got aid of the obnoxious part of the present Act,
that limited under all circumstances the issue to the
amount of bullion in the Bank. (Hear, hear.)
Mr. PHILLIPS doubted that the currency had any-
thing to do with the present difficulties in thecountry. In
America where a paper currency existed, and in Hamburg
where there was a metallic currency the same difficulties
had been experienced as they had witnessed in this coun-
try where there was both a paper and a metallic currency,
The disasters complained of had no reference to the cur-
rency, but in natural causes over which the Government
bad no control—he believed to an excess of speculation.
The only remedy was to be found in a conviction by the
people of England that the terse saying of the Duke of
Wellington was a correct one, viz., that high interest
means bad security." (Hear, bear.)
Mr. BAGWELL expressed a hope that the Government
would make no change in the present Irish banking system.
It was the duty of the country gentlemen of England and
Ireland to restrict the jobbing propensities of Joint-Stock
Banks to pay large interests to tho injury of the commer-
cial community.
After some remarks from Mr. KIRK,
Mr. ADAMS asked the Chancellor of the Exchequer to
give the house an indication of the pressure put upon the
Government for the issue of the letter.
The CHANCELLOR of the EXCHEQUER said that if
the hon, member had been in his place on a previous oc-
casion he would have heard that he (the Chancellor of the
Exchequer) had anticipated his question by stating that
the issue of the letter rested entirely on the responsibility
of the Government, and their view of the facts. The Go-
vernment looked at the authentic position of the Bank of
England, and received daily accounts of their financial
position. (Hear, hear.) No pressure was put upon
the bank by the Government, and the Government might
have withheld the letter if they had considered themselves
justified in doing so. No person complained to him that
the Bank had refused discounts, but that it had virtually
ceased in London except at the Bank of England. It could
not be expected that the Bank of England could discount
at a crisis without discretion any more than at other times.
He justified the Government interference, as exhibited in
the paper on the table of the house, and it would be found
on a reference to them, that on the 11th Nov. the notes in
the Bank amounted to 958,0001., and on the following day,
the 12th,111,0001. The letter was not signed until after
three o'clock on that day, and could not have reached the
city in time to influence the operations of the Bank on that
day. He left it to the house tojudge if that state of things
did not require some [interference on the part of the Go-
vermneut. The right hon. gentleman denied that the Go-
vernment were influenced in the issuing of the letter, as had
been
waitstated,e
nthe
by the
Government,knowledge
fromthat
a Liverpool,deputation o
rany other
were about
to
place.
After making a verbal alteration in clause 1, as sug-
gested by Mr. Gladstone,
The bill was read a third time and passed, and ordered
to be taken to the House of Lords.
GENERAL HAVELOCK ANNUITY BILL.

This bill was brought in, and on the motion of the
Chancellor of the Exchequer, was read a first time and
ordered to be road a second tim9 t9-morrow.

The house adjourned at 3 o'clock.